FM World 18 July

THE MAGAZINE FOR THE BRITISH INSTITUTE OF FACILITIES MANAGEMENT | 18 JULY 2013

FMWorld www.fm-world.co.uk

BANKING ON SUCCESS

How the ямБnancial sector can help FM service providers

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VOL 10 ISSUE 14 18 JULY 2013

CONTENTS

6 | School maintenance

16 | Industry merger

22 | Roundtable

NEWS

OPINION

FEATURES

6 Spending Review puts school maintenance at bottom of the class 7 BIFM and DWP unite to support growth in the FM sector 8 Project of the Fortnight: Rhubarb’s impressive catering offering at the top of the Walkie-Talkie 9 Survey reveals how FMs find it hard to communicate FM’s value 10 Business news: Graeme Davies analyses the opportunities that BIM offers for FM service providers 11 Report suggests trend for FM business mergers is to continue 12 In Focus: Keith Chanter from Emcor on how hard FM has changed

14 Perspective of a facilities manager: Finbarr Murray reflects on a year in the job 15 Five minutes with Nick Thompson of Sodexo 46 No Two Days

MONITOR 32 Report: SAPCA event debates the future of sports facilities in the UK 33 Insight: Market intelligence 34 Training: Jane Bell on the value of training to the FM sector 36 WIIFM: Volunteering for a BIFM technical commitee 37 How To: Introduce managed document systems

28 | Banking and FM

16

Industry merger: Consultant Lionel Prodgers reflects on the recent proposals that could see the BIFM merging with other industry bodies

18

Catering for older people: As the workforce ages, FMs will need to carefully consider new nutritional requirements, explains Diana Spellman

22

Roundtable: At a recent event sponsored by Office Depot, FM and procurement professionals discussed how to make a positive impact on their businesses – and get credit for it

28

FM and banking: There are now several avenues that FM service providers can pursue finance when looking to fuel expansion or consolidate

REGULARS 38 41 42 43 44

BIFM news Diary of events People & jobs Products Appointments

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COVER ILLUSTRATION: Giordano Poloni

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19/06/2013 12:37

Invitation to Tender for Cleaning Services Closing date: Noon 2 August 2013 Mountview Academy of Theatre Arts is seeking interested parties to tender for the cleaning of its premises.

The scope requires undertaking all the cleaning services of the whole campus which is split over five buildings, all within a few minutes’ walk, amounting to the total floor space of approximately 47,000 sq ft. The primary usage of the site is to provide studios for teaching, office space and theatre space.

Information and all related forms for the above tender can be obtained online at mountview.org.uk Completed tenders should be returned before the closing date in a sealed envelope endorsed with Cleaning Tender Submission.

Mountview Academy of Theatre Arts Kingfisher Place, Clarendon Road London N22 6XF 020 8881 2201

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Redactive Publishing Ltd 17 Britton Street, London EC1M 5TP 020 7880 6200 www.fm-world.co.uk EDITORIAL Tel: 020 7880 6229 email: editorial@fm-world.co.uk editor: Martin Read ⁄ news editor: David Arminas ⁄ sub editor: James Richards ⁄ editorial assistant: James Harris ⁄ art director: Mark Parry ⁄ art editor: Daniel Swainsbury picture editor: Sam Kesteven

MARTIN READ EDITOR COMMENT

LEADER

ADVERTISING AND MARKETING email: sales@fm-world.co.uk senior display sales executive: Norbert Camenzuli (020 7880 7551) ⁄ display sales executive: Richard York (020 7880 8543) ⁄ recruitment sales executive: John Seaman (020 7880 8541) PRODUCTION production manager: Jane Easterman senior production executive: Aysha Miah PUBLISHING publishing director: Joanna Marsh Forward features lists and media pack available at www.fm-world.co.uk/about-us SUBSCRIPTIONS BIFM members with FM World subscription or delivery queries should call the BIFM’s membership department on 0845 0581358 FM World is sent to all members of the British Institute of Facilities Management and is available on subscription to nonmembers. Annual subscription rates are UK £110, rest of world £130. To subscribe call 020 8950 9117 or email fm@alliance-media. co.uk – alternatively, you can subscribe online at www.fm-world.co.uk/about-us/ subscribe/ To order the BIFM good practice guides or the FM World Buyers’ Guide to FM Services call James Harris on 020 7880 6229.

EDITORIAL ADVISORY BOARD Simon Ball, business development manager, Interserve ⁄ Martin Bell, independent consultant, Norland Managed Services / Lucy Jeynes, Larch Consulting / Nick Cook, managing director, Haywards ⁄ Rob Greenfield, group SHEQ director, GSH ⁄ Liz Kentish, managing director, Liz Kentish Coaching ⁄ Anne Lennox Martin, FM consultant ⁄ Peter McLennan, joint course director, MSc Facility Environment and Management, University College London ⁄ Geoff Prudence, chair, CIBSE FM Group ⁄ Chris Stoddart, general manager, Heron Tower ⁄ Jeremy Waud, managing director, Incentive FM ⁄ Jane Wiggins, FM tutor and author ⁄ Chris Wood, FM consultant

Average net circulation 11,513 (Jul 11 – Jun 12) FM World magazine is produced using paper derived from sustainable sources; the ink used is vegetable based; 85 per cent of other solvents used in the production process are recycled © FM World is published on behalf of the British Institute of Facilities Management (BIFM)

by Redactive Publishing Ltd (RPL), 17 Britton St, London EC1M 5TP. This magazine aims to include a broad range of opinion about FM business and professional issues and articles do not necessarily reflect the views of the BIFM nor should such opinions be relied upon as statements of fact. All rights reserved. This publication may not be reproduced, transmitted or stored in any print or electronic format, including but not limited to any online service, any database or any part of the internet, or in any other format in whole or in part in any media whatsoever, without the prior written permission of the publisher. While all due care is taken in writing and producing this magazine, neither BIFM nor RPL accept any liability for the accuracy of the contents or any opinions expressed herein. Printed by Pensord ISSN 1743 8845

BIFM ENQUIRIES

British Institute of Facilities Management Number One Building, The Causeway, Bishop’s Stortford, Hertfordshire CM23 2ER Tel: 0845 058 1356 Email: admin@bifm.org.uk Web: www.bifm.org.uk

www.fm-world.co.uk

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hat do we want? Evidence-based change! When do we want it? After

“W peerSoreview.” read a banner at the American ‘Rally to Restore Sanity’ a couple of years back. And you have to ask, is that ever any less than a reasonable request?

Change brought about based on the results of professionally conducted research?

Difficult to argue the alternative, surely.

Chartered occupational psychologist Dr Craig Knight used a picture of that banner as part of a recent presentation. He’s done plenty of work measuring workplace wellbeing and productivity, and in an entertaining session, made great play of how little the typical office has really changed in the century or so since FW Taylor’s pioneering work, ‘Principles of Scientific Management’.

Knight detailed an experiment that he and colleagues had conducted in which office workers were allowed varying levels of freedom to control their own workplace. They monitored individuals placed in four office environments: ‘lean’ (rows of workstations, in which you have no power to change how things are), ‘enriched’ (a more natural workspace with flowers and art), ‘compromised’ (someone else dictating the personal nature of the space, not you) and finally ‘empowered’ (in which you get to decide on how your workspace looks). After observing how people worked in these environments, they then tested their mental faculties.

The results? Essentially, the more empowered an individual is, the better their quality of work and productivity levels. People in an ‘enriched’ workplace are typically 15 per cent more productive than those in a ‘lean’ one. In fact, after a decade of Knight’s experiments and research, the ‘lean’ workplace has always come out worst. People empowered to develop their own workspace are 32 per cent more productive and make fewer errors. I mean, Hell’s teeth! How is that not important?

Empowering people and enriching their working lives increases their productivity.

That’s not some woolly claim – it’s been scientifically proven.

Incidentally, this is not just an office worker issue. Knight detailed another experiment in which residents of care homes dramatically improved their problemsolving skills, memory and general state of wellbeing simply by being involved on an ongoing basis in the control over their own environment (making decisions on decor and other day-to-day choices rather than being constantly waited on).

Knight bemoans the fact that typical productivity projects are often instigated with the aim of headline-grabbing instant cost-savings. Take the government, which recently boasted of saving £34,000 per year by removing plants from government buildings. A prudent saving in a cash-strapped economy? Not against evidence which shows how minimal spending on office greenery can boost productivity.

Knight says there’s an unbroken link between well-being and productivity.

Shouldn’t we in FM be doing more with that fact? If we’re to get a grip on FM’s Holy Grail of defining the value we bring, let it be through something like this.

We’d surely do well to more frequently talk up the science behind the facilities services solutions we propose. Because while our opponents in such arguments are certainly entitled to their opinions, they can’t be entitled to their own facts.

Those people in an ‘enriched’ workplace are typically 15 per cent more productive

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EDUCATION

Spending review puts school upkeep at risk School building improvements and life cycle maintenance are in jeopardy, after the government announced a 20 per cent cut to the Education Services Grant as part of its spending review.

Around £200 million will be taken out of the £1.04 billion the government allocates to local authorities to help them maintain school buildings, classroom equipment and other services, including non-attendance programmes.

“These (services) all have a direct impact on the quality of our children’s education,” said David Simmonds, chairman of the Local

Government Association’s Children and Young People Board.

“There will be no easy choices for local authorities to make when deciding what they can no longer afford to pay for. The government’s promise to protect school budgets has been undermined by this disproportionate 20 per cent cut to the vital support they receive from councils,” he said.

“We will be seeking assurances from the government that this cut does not disproportionately affect pupils in council-maintained schools, which already receive less money for improvement from government than academies.”

Cuts from the spending review puts maintenance at the bottom of the class

Funding for local authorities is set according to the number of school and academy students for whom the council is responsible.

However, as part of the review, chancellor George Osborne upheld levels of capital spending on new buildings by increasing the amount

in line with inflationary pressures to around £4.6 billion by 2015/16.

Osborne further announced that 180 new free schools would be agreed in 2015/16, as well as 20 new studio schools and 20 university technical colleges.

ISTOCK/GETTY

Benefits of flexible working need to be measured Flexible working needs to be measured on the basis of productivity and not only on simple and direct cost savings, says the founder of a workplace satisfaction and effectiveness benchmarking organisation.

But to do this, flexible working needs to be identified if it is to be measured in any useful way, said Tim Oldman, founder and managing director of Leesman.

“It’s a discussion that needs to happen,” Oldman told FM World.

“Flexible working must be defined if it’s to be measured.

For some people, this means working at home; for others, it’s having the ability and being allowed – to work anywhere in the office and not at a particular desk.”

FM World recently reported that a survey by Ortus, a recruitment

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Home working: taking a relaxed view?

firm specialising in human resource professionals, found employees ranked flexible working low on their list of personal benefits.

It was ranked sixth, after the most important benefit of 25 days holiday – followed by company pension scheme, annual bonus scheme, being given a mobile phone or Blackberry and an insurance policy.

A director of Ortus said the

survey’s findings suggested that “HR professionals had their work cut out for them in convincing staff of the relative merits of flexible working”.

Oldman said the issue is really about to what degree a company allows – or its employees expect to have – remote connectivity.

Also, this expectation can differ according to age groups, Leesman surveys have found.

If a potential employee is going for a job in a major telecoms company, he or she might rank flexible working low on their list of personal benefits because they assume it will exist in a major way as a matter of course.

An organisation might also have a high commitment to homeworking – allowing their employees to work at home – but only for

senior employees, who are likely to be older.

A recent Leesman survey found 83 per cent of home workers were over the age of 35. Also, 75 per cent of home-workers had three years or more of service with their organisation and 32 per cent had 12 or more years.

The issue might be one of trusting older people to get on with the job, meaning be more productive.

Oldmand said it might also be an issue of training or management of a younger person who needs, or wants, a lot more direct attention from their immediate supervisor.

But too often, measurement of flexible working’s worth to an organisation is driven by real estate considerations, the thinking being that fewer people in the office means less floor space, and less cost. www.fm-world.co.uk

11/07/2013 16:23

NEWS

BRIEFS GPA in energy review

BIFM and DWP unite to support FM growth The BIFM and the Department of Work and Pensions (DWP) have signed an agreement to support future growth in the FM sector.

The partnership agreement was signed (pictured) by Mark Hoban MP, Minister of State for Employment, Gareth Tancred, chief executive, BIFM and Martin Brown, Work Services Director for Wales and Employers, Department for Work and Pensions.

The agreement looks to increase routes into the sector and raise skills of those employed within the sector.

Mark Hoban MP said: “The importance of the facilities management sector to our economy

and jobs market, through the wide range of opportunities it offers to so many individuals, to get into work and build their career prospects, is why BIFM is a key partner for us. We are looking forward to working together and building on the successes made to date, supporting young people, NEETs and career switchers, into new work opportunities.”

It is also aimed at developing a “facilities and workplace management careers engagement programme”, to help individuals enter, re-enter or progress in the sector.

Gareth Tancred said: “Developing, attracting, and

maintaining a highly-skilled workforce is essential to defusing the demographic ‘time bomb’ in FM. The agreement is the first public step of many great initiatives we have been developing for some time, behind the scenes. This is an exciting time for the profession and the institute, with more to follow.”

Employers wishing to contact the DWP following the agreement should contact employer.advice@ dwp.gsi.gov.uk.

The partnership agreement is to be reviewed on an annual basis, to ensure that it “continues to reflect the fast-paced FM market and employment needs”.

BUILDING INFORMATION MODELLING

BIM4FM survey reveals BIM and life cycle link Three out of four FM professionals believe life cycle management is the most important factor in incorporating Building Information Modelling (BIM) into FM, according to a survey conducted by the BIM4FM group.

BIM4FM is a group set up to champion FM’s involvement with BIM and Government Soft Landings (GSL) projects, bringing together leading FM industry bodies including the BIFM, the Royal Institute of British Architects (RIBA) and the Royal Institute of Chartered Surveyors (RICS).

Nearly 85 per cent of respondents believed that life cycle management would again be the most important issue when anticipating how their organisation would use BIM in the future. www.fm-world.co.uk

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Geoff Prudence, chairman of the BIM4FM group, said: “The results clearly show that there is a recognition that BIM offers the opportunity to improve the life cycle management of buildings. Interestingly, there is both a desire and an expectation for BIM to be able to support better working practices and improve operation and maintenance of buildings in practice.

“The first cut of the survey results shows that for BIM to achieve its potential, it will require FMs to engage in the earlier stages of the design and construction process. By incorporating their understanding of operational practicalities within the design process, it can help shape and influence decision making. This

should lead to better life cycle management and operational facilities in the occupation ‘in use’ period of a building’s life.”

The survey also suggests that FMs, owners and occupiers believe BIM will become increasingly important in day-to-day working practices within the next two to three years.

Prudence continued: “This timeframe is in line with the government’s deadline for all construction projects to be BIM Level 2 compliant by 2016.”

However, the survey showed that there is still work to be done in the area. Three in 10 respondents think that BIM will become more relevant after this period and nine per cent of respondents questioned the value of BIM altogether.

The government-led Green Construction Board and the Green Property Alliance (GPA) have commissioned Deloitte to review energy efficiency policies for commercial property.

The study will examine whether the government’s energy and carbon policies are having the desired effect on the property sector, according to a statement from the GPA. The government is legally committed to an 80 per cent reduction in carbon emissions by 2050 and has introduced a range of policies to cut energy consumption. These include the Carbon Reduction Commitment, Energy Performance Certificates and the Green Deal. More are planned by the UK government and European Union.

Seddon delivers guide National affordable housing developer Seddon has produced a free guide for managing defects in new-build affordable housing.

The Getting it Right guide has been produced by housing strategy specialist 3Dk Solutions.

Developed through focus groups and consultations, the guide is designed to help registered providers, contractors and managing agents deal with defects in new-build homes more efficiently.

Green project boost Projects that provide a ‘green retrofit’ for non-domestic buildings are set to get a boost from a £100 million funding pot. BRE and Sustainable Development Capital (SDCL) have launched a ‘green retrofit investment programme’ to provide up to 100 per cent of capital investment for UK projects of £2 million or more.

Half of the fund has come from the government’s Green Investment Bank, which is to be managed by SDCL, with the rest coming from private investors.

The cash will be available to projects that can deliver a clear reduction in energy demand, cost, and greenhouse gas emissions.

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PROJECT OF THE

FORTNIGHT NEWS BULLETIN

BAM sets up BIM demonstration project BAM FM has launched a live BIM (building information modelling) deployment at UCL Academy, London, to show its usefulness as a life cycle maintenance tool.

In February, BAM announced that it had completed the software and data systems to prove that BIM data can be automatically transferred into computer-aided FM (CAFM) software.

BAM built UCL Academy in north London and maintains the site under a long-term, public-private partnership (PPP) contract.

The UCL-BAM collaboration aims to deliver an ambitious range of project goals, including detailed data specifications, development of a detailed BIM Protocol for 6D and, ultimately, the functionality to enable a maintenance engineer to use BIM in day-to-day work.

“This project will show the actual day-to-day costs and benefits of implementing BIM in a real operational FM environment,” said Kath Fontana, managing director of BAM FM. “This will give building owners and managers greater control over their buildings, the assets in them and the costs of these, than ever before.”

BAM expects to complete the UCL Academy project by the end of the year and is one of five demonstration projects the company is planning.

Stonemason fined over fireplace death

Rhubarb tops-off Walkie Talkie Land Securities and Canary Wharf Group, joint venture partners building London’s 20 Fenchurch Street skyscraper, have appointed caterer and restaurant operator Rhubarb to run the Sky Garden.

The dining experience will be over three floors and include landscaped gardens at the top of the 38-storey, 525-foot building, nicknamed the ‘Walkie Talkie’ because of its shape.

Rhubarb will operate a food bar on Level 35 serving champagne and canapés, a brasserie on Level 36 and a seafood bar and grill on Level 37.

A walkway will offer 360-degree views of London.

The company will also provide catering services for events and office tenants at the building when it opens next year – with 50 per cent of space already let.

The gardens have been designed by landscape architects Gillespies and will be installed by Willerby Landscapes, which worked on the London Olympic Park. Experts from Kew Gardens also advised on the garden design and selection of planting.

Construction started in 2011 on the City-located building that will offer commercial and retail space on a net internal floor space of around 64,100 square metres (689,967 square feet).

Floor plates will range from 1,300 to 2,694 square metres (14,000 to 29,000 square feet).

The BREEAM ‘Excellent’-rated building flares outwards from a narrow base, providing larger floor plates on the upper floors and gives the appearance of a hand-held walkie-talkie.

Floor-to-ceiling glazing on all floors ensures maximum views from deep within a floor plate. The façade’s vertical louvres offer sun shading.

Kone is supplying 14 double-deck eco-friendly lifts and four escalators.

The lifts will race people to the top at a speed of five metres per second, reaching the roof from ground level in 30 seconds, non-stop.

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A stonemason has been fined for serious safety failings after part of a poorlyinstalled fireplace toppled on to and killed a four-year-old boy.

Kristian Childs, trading as KD Childs Stonework of Luton, had been sub-contracted to install stone fireplaces in new homes in Towcester, Northamptonshire.

In October 2005, the 47kg mantel from the fireplace came away from the wall without warning and fell on Matthew Green. He was airlifted to hospital, but died of his injuries shortly afterwards.

An investigation by the Health and Safety Executive (HSE) found that Childs had secured the mantel with small patches of mortar rather than mechanical fixings.

Northampton Crown Court heard that Childs was aware of the need to ensure fireplaces were properly secured, after two others he had fitted at other properties were found to be insecure by the homeowners.

Childs pleaded guilty to breaching Section 3(1) of the Health and Safety at Work etc Act 1974 and was fined £7,500 with £2,500 costs.

Manchester Metropolitan is a study in green Manchester Metropolitan University is the UK’s greenest university, according to the latest annual ethical and environmental report from People and Planet.

The university jumped nine places to take the top spot after achieving the highest score ever achieved – 59.5 out of 70 – in the Green League 2013.

The university’s ranking is a case of “steady progress and improvement in environmental and ethical performance, since they failed the first Green League assessment 2007”, according to the report.

Plymouth University remains at second place for the second year running, with Bangor University named the most sustainable Welsh institution and Edinburgh Napier topping the Scotland ranking.

The report said the results show UK universities are doing more to improve graduate prospects by preparing them for the future low-carbon economy and increasing their focus on sustainability in the curriculum.

Nearly 50 per cent of universities gained full points for integrating sustainability into the curriculum, compared to 27 per cent two years ago.

Standings are based on information from several sources, Louise Hazan, the climate change campaign manager for People & Green League, told FM World. Policy documents are analysed and data is collected from information collated by the Higher Education Statistical Organisation. www.fm-world.co.uk

11/07/2013 16:24

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STRATEGY

FM still seen as a support, not a strategic activity Nearly 85 per cent of facilities managers believe it is hard to quantify the true value of FM services to their organisation, according to a survey.

At the same time, 92 per cent said FM was most often seen as a support function and not a strategic function.

More then 85 per cent said the situation has to change, according to the report Leadership in Facilities Management, published by Workplace Law. The survey, carried out between April and June, was based on 242 respondents – around

60 per cent of whom were clients.

Less than 10 per cent of respondents worked for organisations employing fewer than 20 people. Around 28 per cent worked for organisations of 5,000 or more employees.

According to the report, in 60 per cent of client organisations, the FM is responsible for environmental management.

But on formal training on environmental awareness, only 47 per cent of client respondents had any – only 9 per cent of board-level FMs.

www.circuitcompliance.com www.fm-world.co.uk

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A third of all respondents worked for an organisation that had an environmental management system, such as ISO 14001. Over a third of

client organisations didn’t believe their managers were clearly showing leadership towards environmental and sustainability issues.

ORGANISATIONS WITH ENVIRONMENTAL MANAGEMENT STANDARD

FM RESPONSIBLE FOR ENVIRONMENTAL MANAGEMENT

FMS FORMALLY TRAINED ON ENVIRONMENTAL AWARENESS

33%

60%

47%

mrcircuit@circuitcompliance.com

FM WORLD | 18 JULY 2013 | 09

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ANALYSIS

Early BIM birds could catch the FM worm GRAEME DAVIES newsdesk@fm-world.co.uk

According to estimates, the construction and running of buildings accounts for around half of all carbon emissions in developed world countries.

It should follow, therefore, that one of the most effective ways to reduce carbon emissions is to address how buildings are built and operated throughout their life cycle.

The UK government owns a vast swathe of property across the UK, and is ultimately responsible for the new development of hundreds, if not thousands, of new buildings

every year. It is significant, therefore, that Whitehall is championing the use of building information modelling (BIM).

This concept is quickly becoming a reality throughout the world, both in developed and emerging countries. It is most easy to implement in new-build properties, whereby the entire process of building and fitting out a building is logged and planned with a view to using the most efficient design and construction methods. In use, managers are able to closely monitor all aspects of the building’s performance throughout its life cycle. This

databank is then made available to any prospective new tenants and also for existing tenants to consider how best they may improve the building’s performance.

With the government mandating that all new government buildings adopt BIM by 2016, there is an opportunity here for savvy FM operators to steal a march.

Indeed, using BIM software can enable FM operators to run more efficient buildings, given the depth of detail it can provide on a floorby-floor basis.

This allows for a more efficient deployment of FM services, and better and more accurate reporting to clients. Theoretically, both sides of the deal should benefit: the FM provider, because they are better able to deploy and manage their operations and costs, and the client, because they have a clearer view of the performance of the building and what they are getting for their money.

Contract wins

NEW BUSINESS The Home Office has extended its total FM deal with Interserve for a further two years. The support services business has delivered FM services to the Home Office since 2008.

The extension is valued at £40 million.

The contract also provides support for the National Offender Management Service, the National Probation Service, UK Border Agency and the College of Policing. Services include cleaning, maintenance and security services.

Consultancy firm KPMG has appointed Norland to manage its three London sites. The contract expands Norland’s existing work with KPMG, which covers 10 | 18 JULY 2013 | FM WORLD

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its Scottish and northern England estate, and has recently been renewed.

The management services group started working with KPMG in 2004.

Courier and logistics operator DX Group has awarded Mitie a £2.5 million contract covering its UK estate portfolio. The three-year deal has seen all suppliers consolidated into one. Mitie is managing DX Group’s entire national portfolio of 53 service centres and 173 small mail exchanges.

Services include maintenance, cleaning, security, landscaping and lighting energy management, among other services.

Mace Macro International has been awarded a one-year contract extension with Emirates International Property Services (EIPS) after an initial sixmonth helpdesk agreement. Macro’s director of helpdesk and ICT Imran Akram said Macro was appointed

by EIPS last October to provide an independent helpdesk service across the United Arab Emirates.

Norland has won a hard FM contract for Tower 42, a City skyscraper managed by BNP Paribas. Norland is maintaining electrical and mechanical systems, as well as maintaining the external fabric of the Tower 42 estate.

Pork and beef exporter Danish Crown has renewed its long-time cleaning and catering contract with ISS Denmark for its Danish sites. ISS and Danish Crown have been working together since the 1970s when ISS started cleaning the production areas. Today, ISS also provides office cleaning, catering and window cleaning.

Although applying the principles of BIM is less straightforward in older buildings, it is possible to introduce elements of it to improve a building’s efficiency – especially so when an older building may be going through a refurbishment before being re-let.

The growing acceptance and indeed requirement for BIM in buildings represents an opportunity for those companies who are at the forefront of its development to grab market share. It has also created opportunities for specialist suppliers of the software and technology required for BIM to make inroads into the sector.

Some elements of the latest BIM are at the cutting edge of technology and are the preserve of specialists, at least for now.

One recent project is the plan to launch a live deployment of BIM at University College London’s Academy, linking 3D plans of the building with live information modelling. This is being undertaken by the FM arm of BAM Construct UK. BAM, which runs the building on a long-term Public Private Partnership basis, plans to deliver live BIM feeds rather than batchprocessed data, which should help maintenance engineers.

The success of the project, which is scheduled to complete later this year, could give BAM and its suppliers a significant feather in their caps and stand as a great shop window for contracts elsewhere. And UK suppliers need not think their opportunities are restricted to these shores – with BIM growing ever popular overseas, high-level skills that allow delivery of state-of-the-art BIM should sell well overseas too.

Graeme Davies writes for Investors Chronicle

www.fm-world.co.uk

11/07/2013 16:25

BUSINESS BRIEFS

Mergers continue across FM market The past nine months has been the most active period for FM sector mergers and acquisitions since 2008, according to a new report.

A total of 27 merger and acquisition (M&A) deals were announced during the first three months of the year, according to analysis from business and financial advisers Grant Thornton UK LLP. The Q1 volume of transactions was just one less than the previous quarter’s total and comes on the back of two successive strong quarters, noted the firm’s quarterly report, Insights Into Facilities Management.

Soft FM continues to dominate M&A activity. Until the final quarter of 2012, M&A activity in the hard FM space had dominated the statistics, with the

An acquired taste: mergers continue to define the FM market

soft FM deals being outnumbered almost two-to-one.

However, in the past two quarters, activity in the security, cleaning and other soft FM sectors has swung the balance away from hard FM in numerical terms. The analysis suggested that “this could be a reflection of the continuing search for scale, or

it could still be something of a statistical anomaly”.

The report noted that certainly, a sudden jump in Q1 2013 of M&E sector deals brought hard FM almost back to parity.

In general, M&A activity was dominated by smaller businesses. But the analysis recognised a growing trend towards M&A, involving international entities as buyers, “as larger outfits look to combat difficult trading at home, by focusing on higher growth markets abroad where the sector is less developed”.

The 12 months to the end of March 2013 saw 19 deals involving international entities as buyers, the highest recorded in any 12-month period since before 2007.

CH&Co sees revenue soar 26 per cent Catering group CH&Co has reported a 26 per cent boost in turnover to £97 million for the year ended 31 March 2013.

CH&Co reported a forecast in July of around £95 million.

The result includes sales from the coffee chain Apostrophe, in which it has a 50 per cent stake, according to a brief trading statement.

The independent group said its boost to turnover was a result of an extensive restructuring, including the setting-up of six branded businesses.

Contract wins include the Historic Royal Palaces, Thames Water, Virgin Atlantic Airways, Gatwick Airport and the European Bank of www.fm-world.co.uk

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Reconstruction and Development.

Tim Jones, chairman of CH&Co, said that despite a persistently challenging economic outlook, the company delivered significant growth in turnover, not just through the new contract win, but also through growth within existing contracts.

“The number of new business wins we have seen in the past year is proof that the market is not stagnating,” he said.

“We look forward to the coming year, which will see CH&Co comfortably break the £100 million turnover milestone and to seeing double digit growth continuing to take our turnover towards the predicted £170 million figure by

Lincs Police and G4S save A 10-year contract between Lincolnshire Police and G4S saved around £5 million for the force in its first year.

The savings exceeded a planned £3.6 million, according to a report by Lincolnshire Police, Police and Crime Commissioner Alan Hardwick and G4S. The amount equates to the cost of putting 125 police officers on the beat, noted the report that examined the first year of the G4S-Lincolnshire Police Strategic Partnership. Under the contract, the bulk of the force’s organisational services transferred to G4S.

Spie sets sights on Hochtief French engineering and services provider Spie is set to buy Hochtief’s Service Solutions business for around £214 million.

Final sale and transfer of assets of Services Solutions, which includes facilities and energy management work, will be done by the end of the year, according to a statement from Hochtief, based in Germany.

Balfour sells PFI interest

Tim Jones, chairman of CH&Co

2017/18, as outlined in our five-year plan.”

CH&Co’s brands are Charlton House, Chester Boyd, ITA, Ampersand, Via 360 and Lusso.

The group employs around 2,500 people.

Balfour Beatty has sold its 50 per cent interest in the Salford Hospital Private Finance Initiative (PFI) contract to a subsidiary of HICL Infrastructure for £22 million.

According to a statement from Balfour, the proceeds from the transaction, which completed in June, exceed the directors’ valuation by £8.3 million.

The disposal is part of a planned PFI departure that “continues to deliver additional income and cash to the group”, said Balfour Beatty chief executive Andrew McNaughton.

FM WORLD | 18 JULY 2013 | 11

11/07/2013 16:25

FM BUSINESS IN FOCUS

THE ISSUE: The changing nature of hard FM services delivery

THE INTERVIEWEE: Keith Chanter, chief executive of Emcor UK

Face the change In case you missed it, the construction sector continues to suffer the slings and arrows of a feeble UK economy. It seems a rare day indeed when the media is not reporting doom-laden figures for the sector, or that a hitherto stable firm is about to hit the wall.

At the time of writing, there are flickers of hope out there, but that doesn’t change the fact that almost everyone has had to re-think their business models to be less reliant on construction contracts.

For some companies, you could call this a knee-jerk reaction, for others – like Emcor UK – it’s simply catching up with reality.

The company has a hard FM pedigree that stretches back a century, right through to the present day. But the nature of the business is changing, as Keith Chanter, Emcor’s chief executive, told FM World.

Hard FM is less and less about the maintenance of physical systems, although that is part of it. The trend is for much more outcome-based contracts concerning what the machinery accomplishes for the organisation.

In May, Emcor announced its withdrawal from the construction market – M&E design and installation – to focus on hard FM. Emcor said the move was down to “the construction

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market conditions in the UK and customers’ changing requirements”. Right now, then, FM seems a more attractive option.

Emcor also said it will complete its current construction projects, supporting these customers over the coming months to ensure a smooth transition, but will not seek to secure new construction services projects.

The decision was always going to cause some short-term pain for long-term gain, said Chanter.

Turnover is around £320 million, but this is expected to decrease as a result of the change toward more long-term, hard FM life cycle maintenance and consultancy contracts.

In reality, only around £40 million worth of installation work will be coming to an end.

For several years, the business has been moving toward more life-cycle FM work anyway, Chanter says.

He won’t speculate on how much turnover will suffer, but he is confident by 2015, more businesses will be releasing money for capital works including life cycle maintenance and energy consultancy.

Chanter, an economics graduate and chartered accountant by training, worked in the engineering and manufacturing

sectors – BOC and Bristow Helicopters. He joined Emcor UK as group finance director in 2007 before becoming chief executive in November 2008, just as the recession began to bite and Emcor’s rail engineering contracts started to dry up.

In 2007, Emcor UK turnover was around £400 million, with 40 per cent coming from FM work.

Chanter insists the move to focus on FM is not putting all Emcor’s eggs in one basket because the definition of hard FM has broadened significantly, away from simply maintaining a building’s M&E systems. The machinery of a building no longer sits in isolation, but is now seen as a tool to help the occupier-client’s business strategy – and that’s where Emcor is already heading.

In fact, Emcor UK began maintaining critical systems for buildings back in the 1970s when it won a contract with IBM. The trend is now for hard FM providers to move away from their traditional blue-collar installation and maintenance work with a spanner and screwdriver.

The hard FM market is increasingly more white-collar orientated, leaning more towards consultancy services. “Overall, it’s about us helping a client optimise the operation of their building,” said Chanter. “We manage the

cost of occupancy where people feel secure and good about their building.”

To that end, said Chanter, Emcor UK become the first, it claims, FM company in the UK to be awarded BS 8903 for sustainable procurement. No longer does hard FM sit outside a client’s business strategy.

Even so, Emcor UK will need essential technical skills to understand refits, refurbishments, fire and security systems, data centres and communications systems in critical environments.

To this end, in April Emcor announced the appointment of Greg Markham as technical director. He has 25 years of experience and is the president of the Institute of Healthcare Engineering and Estate Management. His responsibilities include modelling customers’ assets for optimal maintenance, replacement and refurbishment.

The new reality of hard FM is one where the supplier is more empowered to make changes or upgrades or other decisions without constant referral to senior management, or to the client, said Chanter. In effect, staff are more empowered than they used to be.

There will be some growth into soft FM areas, said Chanter, who also wouldn’t rule out an acquisition in the near or medium term.

The company has a hard FM pedigree that stretches back a century, right through to the present day www.fm-world.co.uk

11/07/2013 12:50

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No b o dy k n o w s D aikin be t t e r

10/07/2013 10:27

FM OPINION THE DIARY COLUMN FINBARR MURRAY

“THE SECTOR CONTINUES TO HAVE TO WORK WITHIN VERY TIGHT BUDGET PARAMETERS. THIS MEANS GETTING MORE FROM LESS”

FM University Local Consultant Estates Authority

Finbarr Murray is director of estates and facilities at East Kent Hospitals University NHS Foundation Trust

A YEAR ON THE J O B

inbarr Murray reflects on his first year F working at the NHS, looking at the differences and challenges he has experienced working as an FM in the health sector It’s been exactly one year since I joined the NHS, so I thought this would be as good a time as any to reflect on the past year and the differences that I have experienced as an FM in the health sector. I’ve written before, following my first couple of weeks, so I thought re-reading those first thoughts would be a good place to start.

I’m glad to say that those first impressions are still strong. I still really like the fact that in the NHS you are never far away from your

customers and, in making yourself accessible, they will be all too happy to give you good – and not-so-good – feedback direct.

I really like the fact that in the NHS you can be exposed to life’s real dramas and that doing the work of facilities or estates management, often in the background, is done in the context of some very real emotional experiences for people and that sometimes you have to allow for and recognise this.

I also like the fact that the spirit of the workforce still feels strong to me and that the commitment of the individuals working in the care sector feels real. I have contact every day with a wide range of colleagues and all of them, without much exception, put the fact they work in the NHS as something of huge importance to them. It sounds corny, but there is a real sense of working for a reason.

So what has changed since those first weeks? Well, the sector continues to have to work within very tight budget parameters and without much change to this financial constraint on the horizon.

This means getting more from less.

It’s also a time for opportunity; having limited budgets can help organisations think creatively.

The biggest change in this first year has been structurally, with Clinical Commissioning Groups leading the sector, this is designed to bring decision making closer to GPs and patients. As a Foundation Trust we have qualified for greater independence but clearly these structural changes will have a significant impact over time.

From the FM’s perspective, we will have to ride on the back of the new NHS, trying to ensure that the work we do continues to fit into the new structural and leadership approach. We will, for example, need more time to understand the implications of a reduced and different health framework and the impact this will have on the NHS estate.

BEST OF THE WEB Views and comments from across the web How effective do you think service providers are at managing relationships with their clients?

(BIFM group) Hugh O’Neill: Getting the best out of any relationship is based on mutual trust and shared values. This will take time to develop. As the client, I need to be very clear with my expectations. Service partners cannot secondguess your requirements: they can offer expert guidance and solutions, but that will mean nothing if they do not understand 14 | 18 JULY 2013 | FM WORLD

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what direction the client’s business is heading in.

Phillip Garland: As a contracts manager for an FM services provider.

I find it more rewarding working with a client who is willing to discuss ideas and working practices as a two-way street. We both have equally important roles to play.

What is the most important item for an FM to run? (Heating, cooling, power, people, services) (Facilities Management group) Salem Al Kaabi: People.

If you don’t have a good skills team, you can’t run any facility.

Patrick Whittaker: A company needs good people to succeed, however the facility needs power to run. No power... no lights, no activity... no people, the building will still function.

Paul Dewberry: You need money – without that you do not have anything.

Managing the budget is the most important thing.

Practical FM tips – can we put together 100 FM tips for everyone to use?

(continued) (BIFM group) Andrew Porter: Include informal meeting spaces (sofas and armchairs) as they promote discussions and are often more popular than traditional meeting rooms.

Dave Thomas: Remember your security guards are silent assets. They relish being involved in the fuller operation of the building.

Also, be honest and open. have a wallboard showing your projects, their status and completion dates.

Steve Munn: Avoid falling into the ‘out of sight, out of mind’ trap. Just because

you can’t see something doesn’t mean it won’t give you a major headache in the future. If it’s possible to monitor something, do so.

Stewart Owen: How do you decide on the right level of comfort in the battle between ‘too hot’ and ‘too cold’? Undertake an employee temperature satisfaction survey – and go with the most democratic outcome. Not only will it stop the water cooler moaning, you can set the thermostat and leave it alone. Staff will be productive and happy their opinions were listened to. www.fm-world.co.uk

11/07/2013 12:37

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BEST OF THE

FMWORLD BLOGS Build trust from the start by trusting others

John Bowen, FM consultant Many of the teams that I led and built between the mid-1980s and, over 20 years later, took over had the potential for problems. But you have to ensure that you can effectively blend the old and new regimes.

The basic principle here is that you have to start by trusting the people you are inheriting. It can be hard because in many of these cases you haven taken over to make things better and that, from the other side of the coin, can make it look like the folks joining you are in some way inferior.

One of the things that I would do was bring key members of the new team over to show them the operations that they had joined, partly to show them our way of working, but always to ask their opinion on what we did: was there anything they thought we could do better, for example.

There will be times when there are members of an inherited team who are unable to meet the standards that you set and you have to let them go, but the others in the team will have been aware and will have been watching to see what you did about it.

Taking the right action will enhance the trust and respect that they have for you.

I’ve seen this done very badly more than once. The new group brings in its own people, duplicating skills that are already available and freezing out the incumbents.

They will closet themselves in the conference room for talks, seemingly oblivious to the fact that their new people are aware of the gathering and wonder what is going on.

Taking over a new team presents the same challenges: you are coming in to prove your worth, but you should always start by trusting people.

Read the article in full at tinyurl.com/kt98cr7

The big engagement lie?

Evil HR Genius Nietzsche apparently said that he who has a ‘why’ to live for can bear almost any ‘how’.

Now I don’t suppose for a moment that he was thinking about the workplace when he said that, but I am basing this blog on it anyway.

I’m getting more and more disengaged with the engagement debate. If a company does something that people anywhere in the organisation can totally get, there is no need for a detailed explanation of how your job helps achieve the company mission or vision. People just automatically see that the little thing that they do helps do something really, really good for the end user of the service.

I am with Nietzsche on this one. If people really believe in what they do, can make the links for themselves without a load of corporate spin, understand that it is actually meaningful, then you might just get good engagement anyway. Employees may just put up with not-so-great stuff from their employer because they feel it.

You know the theory: do something positive. But the impact is time-bound – eventually things will just return to the baseline. Returns will diminish. Employees might think they are cool initiatives, but in a month or two it will be all ‘so what’.

If I think of all the verbatim comments that employees make in every engagement survey I have ever seen, what do they often value the most? The people they work with, the relationships they have. Other people are central to our happiness at work.

So maybe the easiest way to increase engagement scores (if you must focus on that) is concentrate on having a shit-hot recruitment process and hire the very best people you can. And fire the misers and the moaners that bring everyone else down.

Read the article in full at tinyurl.com/p23su7h

www.fm-world.co.uk

FIVE MINUTES WITH NAME: Nick Thompson JOB TITLE: Divisional managing director, - technical services division and managing contractor division

One of the things closest to my heart is offering people opportunities in business. I left school at 16, served my time as an apprentice fitter in a ship yard in Barrow-in-Furness and continued to develop my career until I got here. I’m quite proud of that.

The over-arching priority has got to be for us to provide a career path to individuals within Sodexo.

I’m passionate about apprenticeships, succession planning, helping to develop people and mentoring them. If you don’t start to give your people more general management skills, you’re actually curtailing their development capabilities.

There comes a tipping point in everyone’s career. It’s a bit like teaching, where the higher you go up the ladder, the less you teach. Those who climb the ladder in FM are less likely to be dealing with harder-edged FM issues. Instead, they’ll be dealing with business management issues and relationship development, and we equip them for that.

In my career, I’ve seen some very successful accelerated development programmes. People are identified and selected early, not just to be fasttracked, but to be watched, helped and mentored.

I think Sodexo has anticipated significant change in the global FM market, looking at vertical segmentation at a global level, tapping into a burgeoning market, achieving significant success in markets where some very large businesses are seeking to globalise their non-core services.

Sodexo’s UK business has a £1.2 billion turnover. The business is changing, with around 60 per cent of our turnover being in FM services rather than food-related services and a significant part of that IFM business is in technical services.

Our aim is to continue to deliver integrated FM solutions rather than single service lines.

FM WORLD | 18 JULY 2013 | 15

FM FEATURE INDUSTRY MERGER LIONEL PRODGERS

BETTER TOGETHER

Lionel Prodgers brings his experience to bear on the issue of the planned merger between several of the sector’s major professional bodies

he announcement that the British Institute of Facilities Management, Asset Skills, Facilities Management Association and Cleaning and Support Services Association have ”… agreed to the concept of forming one single and united body to represent facilities management and support services” has put a spring in the steps of the organisations in question and commentators alike.

T

ILLUSTRATION: ANNA BETTS

A common purpose In a nutshell, the main advantage of the merger, as cited in the initial announcement, is to establish a common purpose to benefit individual and corporate members of each representative body, and to form an organisation that is more influential in the market.

This is an admirable aspiration but it appears a tall order, given the diverse interests of the respective membership types.

I don’t mean to be negative, just pragmatic, from my experience in arranging and negotiating mergers and acquisitions.

We would all agree that we need a strong industry body to communicate effectively the benefits that best practice in facilities management brings to the economy, the environment

and commerce generally. On the face of it, this would be a good initiative with the right complement of organisations, but the success depends on the envisioned end-game and how the proposed structure would work so as not to compromise the growing professionalism of FM. A two-party merger is difficult enough to settle, but in this potential merger there are least four different (some would say significantly different) organisations with quite different constitutions and member interests. Non-profit membership organisations (with a heavy reliance on boards, where the majority are co-opted, or should I say ‘elected’, volunteers) have a particularly difficult time when it comes to changing the status quo, as I know from my own terms of office in the past, chairing the BIFM and EuroFM. The additional challenge for representative bodies are sceptics and naysayers, saboteurs even, who will counter the enthusiastic proposers, whether the merger, or some other significant constitutional change, is beneficial or not.

In commercial mergers or acquisitions there, is usually a financial objective for the deal that brings an impetus to the negotiations. With membership

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INDUSTRY MERGER

bodies, however, the name of the game is a long, drawnout consultation process; consultation between the parties, and consultation with all of the stakeholders in each one, and with variable membership voting thresholds to contend with. I don’t profess to know the ins and outs of each of the organisations’ constitutions, but I bet they are not simple and the devil will be in the detail.

In my experience, initial meetings between the parties will be very constructive and positive – with each being reasonable in their expectations and polite in their language. But the next detailed stage of consultation becomes rather more tricky, as suspicions about hidden agendas and lobbying and posturing come into the open and become the focus of attention.

Worst still, critics and members (where individual voting membership applies), with little idea about the delicacy of negotiations, will wade in with opinions and demands, ranging from post-nominal letters to subscription fees and, no doubt from the BIFM, question the advantages of merging with supplier-biased associations.

In the days of Global FM (Mark 1), I spent many hours listening and trying to manage egos, individual and collective, to get a common purpose or agreement on how to move the organisation forward.

A key question was how to sensibly invest mounting cash in worthwhile projects for the industry. This was cash mostly contributed by BIFM members through an additional voluntary levy on their membership fees, at the time and when BIFM was heading for insolvency. To my surprise, all six national member organisations willingly agreed that the easiest option in the end was to wind the organisation www.fm-world.co.uk

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up and redistribute the cash pro rata to the organisations. This demonstrated that it was easier to abandon the ideal than get consensus agreement to realise the vision. I believe that the current Global FM (Mark 2) is much better organised.

In the commercial world, and in the facilities management sector in particular, mergers and acquisitions are regular occurrences. I have seen my fair share of mergers in my career, having acquired, been acquired, merged and de-merged in no particular order and on more than one occasion with mixed results.

In their book Joining forces; making one plus one equal three in mergers, acquisitions and associations, Philip H Mirvis and Mitchell Lee Marks state: “More than three-quarters of corporate combinations fail to attain projected business results.

In fact, most produce higherthan-expected costs and lowerthan-acceptable returns.

Meanwhile, executive time and operating capital are diverted from internal growth; morale, productivity and quality often plummet; talented crew members jump ship; and customers go elsewhere. In a great majority of combinations (merged organisations), one plus one yields less than two.”

Of course, there are exceptions to this trend, but, if this view is to be believed, not many.

In for the long haul I am a born optimist, but I know from experience that an undertaking of this significance requires dedicated effort from all parties and their representatives to see it through – and even more grit and determination to ensure that if and after the marriage is consummated, the vows set out are then adhered to.

I can’t resist commenting here, as I write from the Middle East,

“We need a strong industry body to explain the benefits that best practice in FM brings to the UK economy”

that this particular marriage would be akin to polygamy or polyandry, depending on your point of view, with all the problems likely to ensue from jealousy between partners in such arrangements.

Of course a great deal of management time is diverted during the merger discussions before the tangible benefits are explored, let alone realised, and for voluntary organisations with slim budgets that can be debilitating, particularly when members raise concerns and objections.

Legal costs mount as advisers pore over the finer points in Articles of Association and membership rules.

Much of this pain will be avoided if the organisations adopt a clear communication policy. In the past, we have seen many upsets in our industry, consuming valuable voluntary and management time and expense due to a lack of clear communication. For example, IFMA members in the UK felt understandably disenfranchised when IFMA ‘merged’ its UK

chapter with BIFM, without communicating or properly consulting the very members they purported to serve. In these circumstances, the relations sour and the value of the ‘association of members’ soon becomes negative and resented.

Who takes the helm?

Perhaps the biggest challenge facing those charged with the task of agreeing the terms of the merger is the selection of the new leadership for the merged entity. Acquisitions are somewhat easier, as the acquiring organisation usually has the final say, but with mergers, it becomes a key part of the negotiation process.

This is even more complicated for voluntary organisations, where the senior executive positions are usually appointed by a sub-committee of the council or board. The easiest way to accomplish this is to agree the required roles with comprehensive job descriptions and to fill those after the merger through an open recruitment process, rather than try and place those already in executive positions into a new organisation structure.

So, best of luck to those charged with bringing this to fruition. My final piece of advice to all of the stakeholders is to keep an open mind about the ultimate goal and to shape that only after considering all of the facts and opinions that will emerge from here on.

To quote Gandhi: “Truth never damages a cause that is just.” FM Lionel Prodgers is commenting from his perspective as managing director of FM consultancy Agents4RM International, and as a former chairman of the BIFM, a position he held from 1997 to 2000.

He also chaired EuroFM from 2000 to 2005 and was a board director of IFMA from 2006 to 2008.

FM WORLD | 18 JULY 2013 | 17

11/07/2013 12:38

ALAMY

FM FEATURE CATERING DIANA SPELLMAN

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www.fm-world.co.uk

11/07/2013 12:39

CATERING

THE FOOD OF LIFE

In the UK, the workforce is ageing.

The facilities mangers of today and tomorrow will have to take increasing care over the food they serve in on-site restaurants, explains Diana Spellman

www.fm-world.co.uk

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lder people shouldn’t eat health food”, joked the American comedy writer Robert Orben.

“They need all the preservatives they can get.” Of course, in reality, good nutrition brings numerous benefits. It can increase mental acuity, help prevent illness, promote higher energy levels and help to foster a positive outlook.

The list is endless and very encouraging from an employer’s perspective. After all, a happy and healthy (ageing) workforce translates into a happy, healthy and more productive organisation.

Much has been written about the office now accommodating four generations working side by side. More and more people are now working into their seventies. The Office of National Statistics found that employment among the over-65s rose by 104,000 to 870,000 in 2010, which means that people over 65 now make up 3 per cent of the workforce, up from 1.5 per cent in 2001.

This is partly due to the removal of the compulsory retirement age last October. Employers are now prohibited from forcing retirement on employees at 65. The other reason is that many people’s pensions are now falling short of their requirements. According to a recent ICM survey, only 30 per cent of people have made adequate provision for their retirement.

O

The age of innocence Many organisations, too, are ill-prepared for the inevitable ageing process and give little attention to the benefits and policies that might be introduced to accommodate their ageing workforce. To begin with, ‘older people’ is an arbitrary term. The World Health Organization classifies people aged between 45 and 59 as ‘middle-aged’, 60 to 74 as ‘elderly’, and over 75 as ‘old’. People from these age groups often bring a wealth of wisdom and experience, longestablished working relationships, and a confident resilience under pressure that flourishes with age, not to mention a focus and a loyalty that younger generations can lack.

But age also brings sickness, including chronic illnesses, such as cancer, diabetes and arthritis. The Health and Safety Executive notes a difference in sickness absence patterns between younger and older workers. Typically, younger workers are absent more often, but for shorter periods of time, whereas older workers are more likely to be off work for a whole week or more. One third of the workforce is managing a chronic illness by age 50, according to the Institute for Employment Studies.

Diet plays a vital role in maintaining health for everyone, but it is especially important for older people. Although they require the same nutrients as younger adults, many older people can no longer FM WORLD | 18 JULY 2013 | 19

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FM FEATURE CATERING DIANA SPELLMAN

stomach much food and so get too few nutrients.

Combined with digestive problems, this can cause malnutrition, which can lead to fatigue, depression, a weakened immune system, anemia, weakness, and digestive, lung and heart problems.

Diet and productivity are also intricately linked.

According to a Vielife study of 15,000 people in the UK and US, employees with poor nutritional balance reported 11 per cent lower productivity than healthier colleagues (and 21 per cent more sickrelated absence). Food governs how well our bodies and brains function, fostering mental clarity, high energy and the stamina to get through a challenging working day.

Yet employers are too often reluctant to provide good food in the workplace due to financial constraints or because they’ve always done something a certain way. Staff restaurants typically offer cheap, unhealthy selections while vending machines and meeting rooms are stocked with sugary and fatty snacks. The solution? Facilities managers, working together with their catering counterparts, can play a big part in ensuring an organisation’s employees, including older workers, are eating the right foods. In this way, FMs will help to boost productivity and morale, while ensuring that staff feel supported and appreciated.

Many of the men and woman running the biggest, most influential companies in the world are older workers. According to research by the specialist recruitment consultancy Robert Half, the average age of a FTSE chief executive is around 52, while global chief executives are, on average, 56 years old.

Partners In Purchasing sources and provides food for many of these global executives to meet their highly tailored and sophisticated dietary needs. These executives understand precisely how important their dietary intake is and the knock-on effect food has on their performance, their agility of mind and body and their ability to rest and play. Some of them swear by health tonics – liquid preparations containing a combination of herbs, vitamins and minerals – sourced from around the world, as well as superfoods and berries to snack on such as blueberries, acai berries, cranberries, strawberries and cherries. A few years ago, the goji berry came to the West’s attention as a miracle food, and celebrities including Madonna, Paula Abdul, Mischa Barton and Elizabeth Hurley have been advocates ever since. It’s said to slow the ageing process and treat many common health problems, such as diabetes, high blood pressure and fever.

Other executives prefer to stick to a simple, balanced diet and regular exercise. There’s never 20 | 18 JULY 2013 | FM WORLD

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ALAMY

Become part of the solution

11%

21%

According to a Vielife study of 15,000 people in the UK and US, employees with poor nutritional balance reported 11 per cent lower productivity than healthier colleagues (and 21 per cent more sick-related absence)

www.fm-world.co.uk

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CATERING

going to be a one-size-fits-all approach to nutrition and good health. But there are generally-accepted best practices, which FMs would do well to consider when taking into account food provision for workers, young and old.

An appetite for change Many older people don’t actually need to eat as much as when they were young because they tend to be less active. Also, the lean muscle in the body begins to decrease with age, which leads to a fall in the basic metabolic rate. The National Institute of Aging in the US recommends that a woman over 50 who is not physically active, such as a desk-based worker, needs about 1,600 calories a day (a younger female needs around 2,000 calories). A man over 50 in the same position needs about 2,000 calories a day (a younger man needs about 2,500). Starting at around the age 40, the average person puts on a pound every year, which means that by 60, they could be carrying an extra 20 pounds and be at risk of heart disease and diabetes. FMs will want to cater for this by offering nutritious snacks, not just full meals.

Saturated fat intake is another area that older people especially should monitor. As people age, their arteries can become more clogged, which affects the flow of blood to the heart (eventually leading to a heart attack) or to the brain (leading to a stroke). Instead of cheese, burgers and processed meats, opt for food with good fats such as olive oil, avocados, salmon and nuts. The fat from these sources can protect the body against heart disease by controlling bad LDL cholesterol levels and raising good HDL cholesterol levels.

Getting enough fibre, iron, zinc, calcium, vitamin D and vitamin C is also vital for older people. Fibre from high-fibre cereal foods, fruit and vegetables prevents constipation, bowel problems and other issues related to a poorly functioning digestive system. Fruit and vegetables are also an important source of vitamin C, which boosts the immune system and prevents colds by protecting cells and keeping them healthy. Vitamin D is important to help to regulate the calcium and phosphate levels in the body, which keeps bones and teeth healthy. Calcium and vitamin D supplements may help to slow the rate of calcium loss from bones, which starts at the age of 30 and sometimes leads to osteoporosis. Vitamin D can be found in oily fish, such as salmon and sardines, and eggs, but mostly comes from exposing skin to sunlight (the lack of sunshine in the UK means that 25 per cent of us are short of vitamin D).

Iron intake is also important given that anaemia, producing tiredness and lethargy, is common in older people. Iron levels can be boosted by eating red meat or foods from non-meat sources such as fortified www.fm-world.co.uk

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cereals, dried fruit, pulses and green, leafy vegetables every day. The benefits to older people, everyone in fact, of eating a balanced diet can’t be overstated. This implies an intake full of fruit and vegetables, good carbohydrates, good fats and proteins, eating small portions regularly to prevent blood sugar levels from fluctuating drastically, and limiting sugar, caffeine and alcohol intake.

Increasing water consumption is another easy win. A 2 per cent reduction in hydration reduces concentration levels by between 10 and 25 per cent, which can have a dramatic impact on someone’s work. According to the NHS, we should drink about 1.2 litres of fluid every day. All non-alcoholic drinks count, but water, milk and fruit juice are the healthiest. FMs might look to stock fridges with still and fizzy water, a great and healthy alternative to fizzy, sugary, energy-sapping sodas.

Vending machines should also be a focus for FMs. Machines filled with junk food have been banned in schools since 2006, with good reason. It makes sense for employers to follow suit and provide smoothies, juices, packets of nuts, dried fruit, seeds, yoghurt/ granola/fruit bars or low-sugar cereal bars instead of salty crisps and sweets. Even the food provided in meeting rooms can make a difference to both employees’ health and the corporate reputation.

Ditch the biscuits and cakes and consider stylish graze boxes with dried fruits, nuts and seeds. Or, for bigger budgets, have catering prepare fresh fruit and crudités with healthy dips, such as humous.

“A 2 per cent reduction in hydration reduces concentration levels by between 10 and 25 per cent.

This can have a dramatic impact on someone’s work”

Having the taste for success Given the link between food and productivity, food and health in older age, and the fact that the UK workforce is ageing, employers – and FMs and caterers – can’t afford to ignore the business case for encouraging staff to eat well. If employers want to reap the rewards of having older people on their teams, they must cater for their needs.

And for the individual, it doesn’t necessarily pay to be too strict with your diet or exercise. According to research from Dr Michael Mosley a few relatively short bursts of intense exercise, amounting to only a few minutes a week, can deliver many of the health and fitness benefits of hours of conventional exercise. And a little bit of what you fancy does you good. A delicious cappuccino (caffeine is said to increase memory) or a bar of organic dark chocolate (rich in cell-protecting antioxidants) on a Friday afternoon might be a great start to the weekend.

And one last piece of advice – stay away from the preservatives! FM Diana Spellman is managing director at Partners in Purchasing

FM QUICK FACTS

1,600 The daily amount of calories a woman over 50 is advised to consume, so long as she is not physically active, such as a desk-based worker. This is recommended by The National Institute of Aging in the US

2,000 The amount of calories a man over 50 in the same position needs a day FM WORLD | 18 JULY 2013 | 21

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FM FEATURE ROUNDTABLE PROCUREMENT

In association with

ATTENDEES

Andrew Lofty, procurement manager, Carphone Warehouse

Jon Hickey, procurement manager, indirects UK&I, Office Depot

Colin Caulfield, chief operating officer, Cleanevent Group

Marcus Hill, principal FM consultant, Capita

Craig Little, director and head of FM consulting, Davis Langdon

Hannah O’Reilly, category manager for FM and refrigeration, J Sainsbury

Mia Loberg, FM procurement manager, AstraZeneca

Paul Crilly, managing director, Not Just Cleaning It is hard to clearly see the demarcation between prequalifying suppliers and the actual tender process. This, in turn, makes differentiation between suppliers difficult.

A huge amount of front-end information is required, much of it basic and repetitive. Suppliers have become good at ticking the boxes, sending us every process, policy and insurance document they have. Clients and procurement specialists get bombarded by data.

Qusharat Hussain, commercial director, Servateam Jason Wakefield, procurement manager, UPP residential services

PHOTOGRAPHY: SAM KESTEVEN

Richard Warner, commercial director, Cushman & Wakefield FM John Bowen, independent business consultant, Gulfhaven

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Process and PQQs Marcus Hill (MH): The biggest challenge I see concerns the true stakeholders in an organisation.

Procurement is very processdriven and can sometimes hamper the achievement of strategic objectives. There’s no standard process for pre-qualifying companies in a consistent manner.

Hannah O’Reilly (HO’R): As a company interested in working with a spectrum of different suppliers, sometimes we have to ask the basic questions to make sure that we are working with a trusted supplier. I agree some stuff is a little bit redundant, but we can’t just assume everybody ticks every box. www.fm-world.co.uk

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lot of clients don’t use them and the whole PQQ process is very inconsistent. Why could we not have a standard PQQ for suppliers that takes care of all of the basics – company registration, VAT number, insurance details, and so on? The time it takes suppliers to pull this all together and then for someone on the client side to read and evaluate, adds overhead burden to both organisations and detracts from the high value-add and alignment to an organisation’s business strategy that should be the real focus.

HIGHER PURCHASE They may have been uneasy bedfellows in the past, but a recent roundtable saw representatives of FM and procurement discussing their common concerns – and how together they could raise the status of both professions Richard Warner (RW): My supply chain stretches from the UK across Europe, the Middle East and Africa, and my approach is to have a preferred suppliers list. This means I am only doing my PQQ once, in which case I just need one standard process, because I don’t know the Mom and Pop shop in the middle of Bucharest. They are the ones that are more a risk to my duty www.fm-world.co.uk

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of care. I need to make sure I am gathering that data. I get the point that if we are dealing with a Capita I don’t necessarily do that, but which part of Capita am I dealing with? Where does my contract sit? A lot of this is actually about establishing who the legal entities are on those frameworks.

MH: When we carry out due

diligence, we look at parent companies and subsidiaries.

I’ve worked on pre-qualifying a number of very big companies where in the PQQ process we have run financial risk scores on them.

Surprisingly, some score badly because they have a number of group companies and trading entities that are not ultimately the company that delivers the service.

Frameworks are good, but a

Andrew Lofty (AL): As a retailer, we have a duty of care to our customers to make sure those hygiene factors are in place. It also depends on what generation of outsource you are in – if you are in a first generation outsource deal, you are doing that due diligence to make sure you give your customer, the internal stakeholder, the benefit of knowing that we have everything in place, that the supplier is the right supplier to work.

Preferred supplier lists Mia Loberg (ML): If you have a selection of preferred suppliers, it’s more easy to add on more services to those suppliers. We in AstraZeneca have developed a capability matrix that includes the type of services and geographic scope. From that we have chosen our preferred suppliers so that we know, when entering into a country, that the suppliers can provide the services or otherwise have sub-suppliers that can deliver them.

Qusharat Hussain (QH): Processes are there for us to be able to demonstrate after the event how and why we made the decisions we did. As laborious and frustrating as it is, it has to be done.

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FM FEATURE ROUNDTABLE PROCUREMENT

But one of the things to come in these criteria that you set for the PQQs is the potential of setting barriers for new bidders. One of the concerns is that the whole tendering/bidding exercise has become an industry. Bid writing is an industry in its own right and what you tend to get, especially for the large contracts where you have large companies tendering, is the big boys who are quite slick and indistinguishable in terms of what they put forward.

AL: As for a preferred supplier list, how long do you take to do that pre-qualification? If I am pre-qualifying you for a whole host of services that I may never use you for, it just makes it a more laborious and longer process. I’m not necessarily interested in one supplier to do all of our European locations because I want the best in every market. This might mean it’s eight different providers or one provider for all eight markets – but at no point would I want to limit myself to one person because we have gone down that pre-qualification route.

A specifications straitjacket?

John Bowen (JB): One of the biggest drag anchors I see is that we set up these wonderful stacks of specifications and KPIs, and we box the service in: a three-year contract starts today, whack, that’s how it’s going to run for three years. How do you build change into that? How do you adapt to all of this and still measure it in the same way? You can do it, but there are a lot of people there who say: “Oh no, the service has changed, the statistics are gone, all the trends are gone.

Now, I can’t show that it’s better than it was last month, or it was no worse than last month, or it’s cheaper or more expensive” – panic, panic.

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In association with

Jon Hickey (JH): That’s a maturity issue. We need to get past that and build in an ability to develop over time.

Something we now do is challenge on an annual basis. So we have a three-year contract: “Okay, this is what we have done for the past 12 months, what are we going to do differently next year?”

AL: It also comes back to what generation outsource you are.

If you are in a first-generation outsourcing arrangement, often the client will want to be a bit more prescriptive because they want to make sure that their bins are emptied three times a day, that the toilets are cleaned four times a day – that level of detail.

Craig Little (CL): The key is having a contractual arrangement in place that isn’t strict in the sense that it says: “You must do this and you must do that”. It has to be flexible.

ML: If you procure on specifications, you think that you as a company know the best way to do things and you lose the opportunity to use the contractors and the suppliers’ knowledge. It’s their core business, so let them provide the services in the way that is the best on the market, rather than pointing out that four times a day, the toilet should be cleaned, or whatever.

MH: For some organisations, that is just a leap too far. The other challenge is that the person who then gets assigned the task of writing the specification is an FM operator and not a strategist.

A strategist would be quite happy to work on an output basis and say: “this is the output we want to achieve”, aligning it to business objectives and the business plan.

If the specification is written by an operator then there’s a danger it will focus solely on the

“ANYONE’S FIVE-YEAR PLAN MADE TWO YEARS AGO WON’T REALLY BE WORTH MUCH NOW” ANDREW LOFTY

operational requirements, not the desired contract strategy.

FM’s sheer breadth AL: The difficulty with FM is that it is so varied in terms of whether it’s bundled, unbundled or self-performed. I might prequalify somebody who’s the managing contractor and, in essence, they are not actually self-performing anything.

Effectively, I’m pre-qualifying them for their ability to prequalify their supply chain and get those guys lined up. At which point, does that sub-contracting process stop?

CL: That’s important. One of the main problems in FM procurement is that so many organisations jump into it as a commoditised procurement exercise and don’t do the strategic part up-front, www.fm-world.co.uk

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RW: It’s about having a shared expectation of what that right thing looks like because whatever is documented will change over time. In fact, if it doesn’t change over time, then something is wrong because your SLAs and KPIs should change annually through your whole governance process, realigning to where the business is actually going.

Term lengths setting the strategy and the model. That’s possibly down to a lack of knowledge and expertise within client/procurement teams.

MH: I’ve worked with a number of large organisations where the procurement team has been brilliant at buying commodities with complex supply chain issues, but they then switch to running an FM tender. Very often they’re not equipped with the skill sets and expertise to go from procuring goods to procuring services. They may have limited time as they are running multiple or sequential projects and they have a limited understanding of FM. This makes it a challenge to effectively procure FM. There’s a big difference in articulating the requirements for the procurement of a cleaning or catering service to that of buying goods.

Innovation and differentiation QH: FM has changed. Firms are beginning to understand how complex FM is and the need to hire external expertise. FM is an umbrella for a number of categories that in themselves are quite complicated and can be badged in various ways. When I was a director at [construction and building repairs company] Morrison FS, it ran an event for www.fm-world.co.uk

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the CFOs to address indirect procurement because normally the focus is on direct procurement and that’s something companies already control really well.

However, indirect costs, where the FM category normally resides, are pretty much hidden and not very well addressed. It’s very much ‘process procurement’, as opposed to a real understanding of these indirect costs and effective sourcing.

Once they realise that this is an untapped area, you get innovation. In our area, for example, we looked at co-location.

We were involved in construction and the repairs and maintenance sector, so looked at property and real estate in a different way. Why have our own offices? You look at CRE completely differently.

That’s where FM and the supply chain can make a difference. Where you get a very strong FM leader who recognises and owns that particular cost element, who brings fresh ideas and challenges whether or not you need certain space – that’s where we can contribute most.

CL: The assumption we should make is that service providers should be able to deliver the core services: the innovation, the good practice, the driving value, the collaboration – it’s those things you want to test and demonstrate.

MH: Why do we have three-year contracts? Traditionally, it was to write off equipment. But by the time the supplier has mobilised and bedded-in and, normally, six months before contract expiry, a decision is made as to whether to renew, renegotiate or re-tender.

The ‘live and steady-state’ period is not very long, making it hard for suppliers to truly add value and innovate.

If you had someone through the life of that contract working in the client’s procurement team and they got seconded into the supply chain for three months to work with the buyers buying the various services within a contractor, how much would that person learn about procurement and about how FM service delivery takes place?

Colin Caulfield (CC): Businesses tend to build their business plans around fiveyear bundles, yet we talk about three-year contracts, so that sits outside of the model for your business plans. You talk about true partnerships in terms of partnering up with a supplier or a number of suppliers; if you align that to your five-year plan, surely that will be in the interests of both parties.

AL: Anyone’s five-year plan that they did two years ago won’t really be worth much now. If you look at the way the industry and economy has gone, you have

to have versatility within the contracts and the business plan to enable you to follow that.

Early involvement CL: One of the most common phrases I have heard over the past 10 years is: “That’s the way we have always done it”. Too many client organisations roll from contract to contract, doing what they have always done.

We’d all probably agree that the FM market is changing at a rapid pace and there are so many best practices in place today that many organisations are lagging five years behind. That’s one of the challenges – it’s not just the commoditised buying, but procurement teams procuring what they procured five, six, seven, 10 years ago.

RW: We have to look at where FM sits in the food chain within an organisation. Corporate real estate is tied into the top level business objectives of ‘where are my business leaders going?’. But this then filters down about five layers to get to FM delivery on the ground.

When you go out to do an FM delivery or re-tendering exercise, you’re approaching those people at that operating layer who are actually the guys doing all the service delivery. They are not commercial people, they are FM WORLD | 18 JULY 2013 | 25

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FM FEATURE ROUNDTABLE PROCUREMENT

actually there to deliver a service and so you are then getting those people to develop a specification which is not something they normally do because they focus on delivering the FM service.

You are then putting them into, category management, in which case you are giving the process over to a process-driven procurement organisation. You have a lack of specification in a process going out to a marketplace that it doesn’t necessarily know unless it has PQQd them.

Competitive dialogue RW: There are lots of different ways of engaging, but the best bid we have ever had was by engaging with our clients through a competitive dialogue. We got down to two or three providers and essentially sat down in locked rooms with workshops to say: “What is the actual need you have, what is the specification?

Let’s work together on that”.

So we are not yet building any costs in because we don’t know all those unknowns. Once you are appointed, it is then all about trust and understanding what those deliverables are, then coming up with the right solution.

We can negotiate the right commercial structure.

JB: If you look at the way a tendering process tends to work, we look at history. Think about how the world has changed in the past two or three years, the speed at which it has been changing, yet we sit there with a six to nine-month tender process talking about information over the last two years. We’re buying something that is going to support us through the next three to five years.

PC: The competitive dialogue process is a manifestation of a positive behaviour. It says that 26 | 18 JULY 2013 | FM WORLD

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In association with

the customer wants to know and is taking the benefit of the years of experience of a number of suppliers where there are two or three in that dialogue stage.

That means that the customer is probably more open and likely to do something collaborative.

The intelligent client CC: We’re starting to see what BIFM would call the intelligent client function; the person in the business who understands FM and who works with procurement to say: “In the first instance, this is what I want to procure”.

CL: There are certain organisations building the intelligent client function into their overall strategy, but that is, I think it is safe to say, a minority.

RW: Also, you have to look at who the FM clients are.

Everybody needs FM, they just don’t realise or even call it FM. So it tends to come down to a receptionist or an office manager or somebody in a single location.

They deal with the FM, so it is quite unsophisticated. They are just buying a service because that’s what they think they need.

Then you go right up the other end of the scale, to huge global corporates where they have the same issue – because most global corporates haven’t got there unless they have gone through some sort of organic growth and you tend to find that there are lots of different pockets of business units that all do things differently.

So it’s somewhere in the middle that you have to pull those different things together.

We’re trying to come up with a single solution that fits the whole spectrum of a client. There are different people within that supply chain; the whole range has different levels of expertise.

It goes back to the expert who understands it, who can specify it, who knows what their

expectations are. This is passed on so the supply chain understands and knows what the expectation is, and can deliver what’s really required.

Paul Crilly (PC): There is another issue there and that is whether the expert customer has spoken to the consumer of the services. This person is rarely consulted on what they want.

“CERTAIN ORGANISATIONS ARE BUILDING THE INTELLIGENT CLIENT FUNCTION INTO THEIR STRATEGY” CRAIG LITTLE

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AL: Whether it’s procurement or the FM team, it comes down to how good and open-minded your people are. I have somebody specifically in place heading up the FM procurement side, and they know what their role and mandate is. But equally, they understand where their limitations are and when to call somebody in – a consultant or whomever, to help in the process.

“THE IMPORTANT THING IS TO INTERACT ALONG THE FULL LENGTH OF THE CONTRACT” MIA LOBERG

MH: It’s about CSR and brand too, because the quality of FM service delivery will affect and influence the brand and reputation of an organisation. FM interfaces with all parts of the organisation from arrival in the car park to meeting the chief executive in the conference rooms. Buildings account for 40 per cent of CO2 output and areas, such as waste management are at the heart of FM; CSR and brand is directly linked to the delivery of FM. ML: The important thing is to interact with the business along the full length of the contract – so not just the first implementation phase and the last three months of the contract period, but to have a governance model where you share the obligations to do the follow-up with the partnering supplier.

At AstraZeneca, we have open discussions on innovations and improvements along the way, not just for the mobilisation, implementation and last phase.

Follow the contract over the whole period – that is part of the success.

Building relationships AL: We make the assumption that FMs are experts in the art of communication. Often they are good at peer-to-peer and downward communication, but sometimes they struggle going up the food chain. www.fm-world.co.uk

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ML: We will be a commodity if we do not challenge higher up in the organisation. We’ve picked out stakeholders and they are senior managers within AstraZeneca.

I have four of them, and they are scientists. I have 30 minutes, four times a year, for an open conversation. Of course, it’s scary.

I don’t know everything they do and sometimes they ask me questions on a specific part of their processes that I don’t know about – but that is the challenge, to step in and see what happens.

RW: The difficulty the category manager has is that they not only need to know what their customer group is doing and be a specialist in that, they have to be a procurement expert as well – that is a real challenge. The big selling job that individual has is to tell everybody: “I’m not here to take away the costs. I’m here to make sure we get the right service.”

RW: When I talk to my facilities managers, one of the challenges they have is being perceived as anything other than a boiler suit. That’s a big issue for the industry, going from the boiler room to the board room. And in procurement, it’s almost harder because you are simply not seen.

Sometimes the FM is seen around the building, but in procurement you are in a room somewhere, tucked away in the bowels of the building.

JH: It’s in our hands to make this change. We all have to take responsibility, whether we are on the FM side or we are on the procurement side, of marketing ourselves.

Bad practice AL: There are some people out there trying to buy work and coming back with variations later on down the line. All that does is take the whole relationship discussion and rip it apart.

CC: It’s still a huge issue in the market. We know that people will bid on 90 per cent of their operating model and say to their FMs who they have on the contract, ‘you have to find 10 per cent savings.

Actually you have to find 12 per cent because we need 2 per cent profit’. That defeats the objective.

PC: There is another part to that – the customer accepts it at some point. We all know that’s underbidding, but some would accept it and that’s a risk. It’s unacceptable to both parties.

Jason Wakefield (JW): For some FMs, it’s a power thing, so when you get somebody in procurement who knows their stuff, the FM will think: “They’re taking my power away. I have been autonomous in managing this building.” That’s one of the major challenges between FM and procurement working together.

AL: You make an interesting point, that somebody has accepted it. You have people that are ill-informed who are accepting that service or accepting that cost and who don’t know better because their organisation hasn’t invested in the consultant or hasn’t done their right market intelligence.

JB: If they are not clear on their organisation’s strategy, then they are sat in an ivory tower rather than understanding that the business is under pressure and asking themselves what they can do to improve value.

I’ve introduced charges for vending, things like that. Hugely controversial, but go and talk to the HR director and the choice is: “We do this or we start to look at head count.” Often that provides the necessary focus people need to understand the kind of pressure the wider business is under.

HO’R: One of the things I have not heard mentioned all that much is about customer service of the FM provider to the procurement teams and the FM teams that are going to be their customers.

Absolutely, procurement and the FM team have a responsibility to do the due diligence and the validation on any offer on the table. But ultimately the responsibility to put a bid on the table that you can stand and live next to is with the suppliers, they have to take some ownership of that as well. FM FM WORLD | 18 JULY 2013 | 27

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FM FEATURE FINANCIAL SUPPORT CHRIS SOOD-NICHOLLS

BANKING ON SUCCESS T ILLUSTRATIONS: GIORDANO POLONI

The banks aren’t lending, so don’t bother asking. Rubbish, says Chris Sood-Nicholls, who explains that the financial sector is funding FM’s current boom

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he importance of the UK facilities management sector is often underestimated. Last year, its market value was estimated to be £106.3 billion, a figure that is set to rise.

Research by MCi Limited estimated that the potential market could increase to more than £117 billion by 2017. This article considers what is driving this growth, how the market will develop over the coming years, and what role the banks can play in helping FM companies fulfil their growth ambitions.

Broadly speaking, the FM sector is segmented into three parts: contracted-out projects, in-house projects and total

facilities management (TFM).

And it’s growing, as firms increasingly out-source non-core activities, such as cleaning, reception duties, manned security and catering, to allow them to focus on core strategic activities.

The FM sector has responded rapidly to this growing requirement and has delivered an effective solution, which typically provides for enhanced service delivery at a lower cost.

Despite the challenging economic outlook, this trend is expected to help support future growth potential for UK FM providers, with a particular focus on the bundled and integrated FM solutions.

This a direct response to the changing nature of the UK economy, where many firms are continuing to focus on relentless pursuit of efficiencies, to protect and enhance margins, demanding ‘more for less’.

In other words, this amounts to ‘a higher value proposition’, which may favour larger FM providers who have the breadth and depth of capability to deliver integrated and complex longterm contracts. This trend is evident in both the public and private sectors, and is one that will inevitably lead to pricing pressure for FM providers.

However, we expect volumes to grow, particularly in the public sector where we are witnessing www.fm-world.co.uk

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FINANCIAL MANAGEMENT

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FM FEATURE FINANCIAL SUPPORT CHRIS SOOD-NICHOLLS

a continued positive shift towards contracting out services.

FM, business process outsourcing and energy services have historically been viewed as three distinct markets, with the majority of FM tenders focused on single services. However, there has been a growing trend for those markets to converge.

As clients seek to realise greater cost and efficiency savings, service demands are shifting from single service contracts to complex, multiservice solutions based on an integrated service or ‘TFM’ model.

This multi-service solutions model presents clients with an opportunity to radically transform their cost base and service delivery. However, it also presents FM providers with new or increased funding requirements to support the mobilisation of new contracts.

For example, at the outset of a large, five-year TFM contract, a single provider may need to spend a higher amount of capital expenditure on mobilisation, due to the increased scale of the contract. This can eat into valuable financial headroom on existing committed bank facilities at an opportunity cost of deploying these facilities elsewhere. This can include investment in other strategic projects or other forms of corporate development, such as mergers and acquisitions.

guarantees and bonding, as well as vehicle finance. This last area is particularly important in growing support fleets, but all these services support the core operational requirements of the FM sector.

Also, support can be provided by revolving credit facilities or access to the debt capital markets to support business’ core debt requirements and strategic corporate development.

Finally, financial support can help to develop new and innovative ways to help finance

the sector’s growth ambitions.

This is particularly relevant for the advent of TFM. For example, in some cases an FM provider could avoid the material outlay of financing the mobilisation of a TFM contract – under an appropriate structure, a bank can step into the place of the FM provider and fund the associated expenditure directly, looking through to the underlying receivables from the contract as a form of security.

This structure, if implemented at an early stage in contract

negotiations, can help avoid an unnecessary and sometimes burdensome capital outlay.

The impact of this is to preserve financial resources for other forms of strategic corporate development, while at the same time allowing FM providers to partner closely with relationship banks to help capitalise on the opportunities that TFM can present.

A share of the pie Lloyds Bank believes that as confidence returns to British

Paying your way The banking sector has a key role to play in helping FM businesses overcome some of these challenges and help it to capitalise on the opportunities that TFM can present. This support can be in a number of ways: first of all, the provision of day-to-day banking facilities, such as transaction banking (for example, cash management, cards and merchant acquiring), overdraft facilities, performance 30 | 18 JULY 2013 | FM WORLD

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www.fm-world.co.uk

11/07/2013 12:41

FINANCIAL MANAGEMENT

FM QUICK FACTS

$1.2 trillion 100%

Value of the business and support services market, 2012

This represents and increase of 100% since 2003

business, opportunities for consolidation both in the UK and globally will present themselves to the UK’s FM providers. To underscore this, in 2012, published research undertaken by the bank revealed that the business and support services market, which includes FM, is growing rapidly, and generates at least $1.2 trillion (£0.8 trillion) for the global economy, a 100 per cent increase since 2003.

Growth has exceeded that of global GDP as a whole over this period, reflecting the growing trend for engaging business and support services companies.

This figure was compiled using data from listed companies; however, according to Oxford Economics, the figure could rise as high as $5 trillion (£3.4 trillion), if additional government figures are taken into account.

By comparing a country’s share of the global market and percentage of the national GDP, the research produces a unique country-by-country analysis of the industry. This has enabled

the economic research team to estimate how developed the market is within individual countries and addresses both the challenges and the opportunities in the sector. The analysis showed that while the US currently holds the largest share of the market (33 per cent), there may still be room for growth as the sector only accounts for 0.12 per cent of its GDP. In comparison, China has 8 per cent of the global market, but as the sector accounts for 0.8 per cent of its GDP, the opportunity is also significant.

This report shines a light on a sector that is often overlooked among some of its peers and shows that in the UK, we have a worldleading industry, where there are clear opportunities for further growth, both within the UK and in terms of exporting this experience and expertise overseas. There, the business and support services sectors are less mature, and British companies are uniquely positioned at the forefront of support services to capitalise on this.

However, a bank’s role is not limited to the provision of research

alone. Banks also have a vital role to play in supporting their clients’ overseas growth ambitions, in terms of the provision of financial capital in underwriting material mergers and acquisitions.

They are also able to deliver intellectual capital through the provision of advice on alternative sources of funding in the debt and equity capital markets, as well as advice on the associated risk management considerations.

In summary, the banking sector has an essential role to play in helping British companies prosper and Lloyds Bank is very positive about the prospects for the UK’s FM providers.

In the current economic climate, companies in both the private and public sector are continuing to focus on efficiencies and will therefore increasingly look to UK FM companies as experts to help deliver a compelling value proposition for contracting out services. FM Chris Sood-Nicholls is industry head for support services, global corporates, at Lloyds Bank Commercial Banking

“Support can be provided by revolving credit facilities or access to the debt capital markets” PERSPECTIVES

INTERNATIONAL EXPANSION OF THE UK’S FM FIRMS he UK is one of the most mature markets for business services and remains a leader in its field.

UK facilities management companies have a unique opportunity to lead the way in this sector for other countries, as well as to capture some of the first-mover advantages associated with overseas expansion. UK banks have a pivotal

T

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role to play in helping to fund the capital outlay that this sort of expansion demands.

Many UK FM companies are choosing to follow their core UK client base overseas, by looking to partner locally with other firms in new markets or leverage existing in-country capabilities to service local subsidiaries’ requirements and this includes clients that operate

in financial services. Global FM providers are seeking to partner with clients on a multi-product, multi-geography basis where practicable. However, we need to remember that an integrated FM contract is common practice in some countries, whereas in others, it remains an alien concept. A truly global approach to integrated FM, therefore, remains some way off.”

FM WORLD | 18 JULY 2013 | 31

11/07/2013 12:41

FM EVENT SAPCA JAMIE HARRIS

A SPORTING LEGACY Last summer, London was a hub of excitement, spontaneous patriotism and record-breaking athletics. At this year’s Sports Facility Show, experts spoke of how to protect this legacy at the nation’s sports venues

David Moorcroft, a former Olympic athlete, opens the Sports Facility Show

year after the London 2012 Olympic games, is there any evidence to suggest our sporting facilities, both of Olympic-standard and at grass-roots level, are set up to aid future generations of stars?

Olympic legacy has four elements, explained David Moorcroft, former Olympic middle-distance athlete, in the keynote for this year’s Sports Facility Show.

These elements include the physical regeneration of east London and the Olympic Park, and the quality of facilities around the UK, linking both past and present, as well as London, with the rest of the country. Both are built on the participation legacy and the growing reputation of UK business, through provision of facilities and services during the games.

“UK organisations should

A

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be doing their utmost to take advantage of the strong reputation the construction and services sector has gained,” said Moorcroft.

Focus on people Moorcroft emphasised the work of the people in sport, which he charatrised as a people-orientated sector. Volunteers are the cornerstone of grassroots sport and supplying adequate facilities will supplement their work, he stressed.

However, there appears to be, a clash between those who are urging every man, woman and child into their nearest sports club, and those expressing the blunt realism that the facilities are simply not in place.

The subsequent presentations at the conference, organised by the Sports and Play Construction Association (SAPCA) and held

at Coventry’s Ricoh Arena, were tailored to advise on increasing the longevity of sporting facilities and equipment.

Last month, the government announced it is to cut £11.5 billion in public spending as the country creeps back into a ‘make do and mend’ mentality. Emphasis is being placed on investing in maintenance costs in order to save on expensive reconstruction.

Chris Trickey, SAPCA chief executive, spoke of cost-effective solutions in renovating sports facilities. “If a renovation is planned,” said Trickey, ”do an assessment of what is already there, as it is an opportunity to tackle problems that time has revealed.”

Items such as inadequate foundations, slow drainage or even fundamental aspects like poor orientation of courts and pitches can be rectified at one time, reducing any further improvement costs.

“Look at whole-life costs, not just initial capital costs,” said Trickey. As much as FMs may wish to reap savings through efficient facilities, the cost of maintenance is still significant, it was roundly concluded.

In a number of the event’s presentations, speakers bemoaned organisations spending big on 3G surfaces and new courts and pitches, but then taking a step backwards by scrimping and cutting corners on the correct maintenance equipment and procedures.

In a presentation on synthetic sports surfaces – an increasingly common sight across a multitude of sports in recent years – Nick Harris of Replay Maintenance continued the trend, quashing the myth that 3G surfaces were maintenance free. (Also see FM World, To-Do List on grounds maintenance, 25 April 2013).

Bringing in an all-weather surface will certainly increase playing time and generate income, but additional wear and tear means it must be budgeted for.

Moving the goalposts From taking care of lighting fixtures to upgrading equipment to satisfy changes to competition standards, the list of required improvements is periodically added to. For example, young football players from the ages of 11 to 12 are now to play in nineversus-nine matches, on a suitable pitch size with a new size of goal.

This equipment must be suitably updated and purchased.

A more sombre note at the conference was the stark reality that health and safety regulations on sporting equipment must be improved, after several cases of deaths through the use of unsecured or unsafe goal posts.

It is another consideration FMs at these facilities must take into account.

Other speakers stressed the importance of designing and building multi-use sporting facilities as a means of extending the time the surfaces are in use. This strategy was evident in London’s Olympic bid and preserving facilities for future use is an approach that Lord Coe and his team hope will be rolled out across the country’s sporting arenas.

Odd that the conference was hels at a football ground that was completely stripped bare of turf.

Well, that’s one way to save on maintenance costs… FM www.fm-world.co.uk

11/07/2013 12:42

FM MONITOR MARKET INTELLIGENCE

INSIGHT

The figures on this page have been compiled from several sources and are intended as a guide to trends. FM World declines any responsibility for the use of this information.

ECONOMY

FM OUTSOURCING IN THE HEALTH AND EDUCATION MARKETS

VAT rates: Standard rate – 20% (from 4 January 2011) Reduced rate – 5% Zero rate – this is not the same as exempt or outside the scope of VAT

The formation of the coalition government in May 2010 saw a shift in government policy away from increasing capital expenditure to stimulate the economy to focus on cutting expenditure. This has seen a number of capital projects, most notably, Building Schools for the Future (BSF), cancelled.

The market is expected to remain stable in the short to medium term as increasing use of outsourcing is off-set by the decline in new large-scale projects coming to the market in either health or education.

Outsourcing within healthcare is considered to be relatively mature, with the majority of NHS trusts outsourcing at least some services. Although TFM remains small, this type of contract is increasing driven by the need to make savings without affecting front line services. NHS facilities managers are under pressure to minimise operational costs in order to focus budgets on core services and to meet ambitious energy and carbon emission targets.

Bank of England base rate: 0.5% as of 4 July 2013.

The previous change in bank rate was a reduction of 0.5 percentage points to 0.5% on 5 March 2009.

Source: Bank of England (bankofengland.co.uk)

Consumer Price Index (CPI): The Consumer Prices Index (CPI) annual inflation grew by 2.7% in May 2013, up from 2.4% in April.

The inflation rate has returned to the levels seen in March 2013 after the slowing in the rate to 2.4% in April. CPIH, the new measure of consumer price inflation, including owner occupiers’ housing costs, grew by 2.5% in the year to May 2013, up from 2.2% in April.

Source: ONS (www.ons.gov.uk)

PUBLIC SECTOR FM OUTSOURCING

Hourly rate from 1 Oct 2012

Aged 21 and above

£6.19

Aged 18 to 20 inclusive

£4.98

Aged under 18 (but above compulsory school age)

£3.68

Apprentice rate, for apprentices under 19 or 19 or over and in the first year of their apprenticeship

£2.65

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33_Insight.sr.indd 37

+

= 10%

THE EDUCATION MARKET IS EXPECTED TO CONTINUE TO DECLINE THROUGH TO 2015 AS BUDGETS REMAIN RESTRICTED.

UK BUNDLED FM OUTSOURCING MARKET

LEDS WILL SOON ACCOUNT FOR 5.5% OF THE GLOBAL LIGHTING MARKET

4500

5.5%

4400 4300 4200

ELECTRONICAST REPORTED THAT GLOBAL CONSUMPTION OF LED LINEAR TUBE LAMPS WAS UP TO $194 MILLION LAST YEAR

WITH PREDICTIONS SUGGESTING THAT IF THE GROWTH IS STEADY, LED TUBE LAMPS WOULD HIT $2.37 BILLION SALES BY THE YEAR 2022

4100

Category of worker

THE HEALTHCARE AND EDUCATION OUTSOURCING MARKET INCREASED IN VALUE BY AROUND 10% PER ANNUM IN THE MID TO LATE NOUGHTIES, REFLECTING GOVERNMENT POLICY OF CAPITAL INVESTMENT PROCURED THROUGH PFI/PPP

LED LIGHTING

EMPLOYMENT

National Minimum Wage The following rates came into effect on 1 October 2012:

£3 BILLION IN 2012

Source: AMA Research (www.amaresearch.co.uk)

£m

Source: HM Treasury (hmrc.gov.uk)

THE MARKET FOR OUTSOURCED ‘BUNDLED’ SERVICES WITHIN HEALTHCARE AND EDUCATION IS VALUED AT MORE THAN

4000 2010

2011

2012

2013 FCST

2014 FCST

Central and local government outsourced FM experienced good growth through to 2011, reflecting the move towards greater levels of outsourcing of a wider range of services and a higher level of investment in facilities. Growth levels declined in 2012 as government spending fell.

However, the market for FM in central and local government is expected to grow by just 2% in 2013 and remain subdued through to 2016, before returning to average growth levels. This situation will be driven by more cuts and continued rationalisation of the estate, with vacant buildings being discarded, and as increasing penetration and maturity starts to limit growth in all sectors.

The chairman of a Taiwan LED chipmaker has stated that global shipments of LED light bulbs are expected to hit 600 million units in 2013, compared to just 200 million units last year.

The figure shows a year-on-year growth of 300%.

Predictions are also being made about the price gap between the favourite 40-watt retrofit LED light bulbs and their energy-saving counterparts. It is thought that the gap will start to narrow throughout 2013, confirming the LED light bulb’s current status as the most budgetfriendly, energy-effective lighting solution available to the public.

Source: BLD Direct www.bltdirect.com

FM WORLD | 18 JULY 2013 | 33

11/07/2013 12:42

FM MONITOR JANE BELL

TRAINING

Jane Bell is an FM consultant and director of learning and development services for BIFM Training

F M TR AIN IN G IN 2 0 1 3

ane Bell takes the temperature of J the FM sector by focusing on the training it offers new starters and those looking to advance through the ranks If we want to understand the current state of the facilities management profession, then arguably, we need look at its approach to training and development. As a ‘people business’, FM succeeds or fails on the quality of those running day-to-day services and taking decisions at each level of authority.

But understanding where organisations and individuals are choosing to invest their precious learning and development funds tells us a lot about the wider challenges facing different sectors of the economy today.

Training has always followed fashion to some extent: new legislation or innovations logically tend to trigger demand.

Building fundamental skills – or refreshing knowledge periodically – is another important driver, borne out by BIFM Training’s continuing success with long-established public courses, including the flagship Foundation Course, Understanding FM, the integrated Professional Facilities Manager courses and stand-alone programmes on fundamental operational areas such as contracting, M&E, maintenance, space planning, health and safety, and so on.

But it’s clear from recent experience that important changes are taking place in attendees’ motivation and objectives. The biggest shift by far has been in the balance between people seeking 34 | 18 JULY 2013 | FM WORLD

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out courses purely for CPD and those wanting to undertake a professional qualification.

Undoubtedly, the new qualifications pathways that have opened up in the past few years offer some exciting choices for individuals and their employers.

For the first time, it’s now possible to chart a full career pathway from school leaver to senior manager, with associated qualifications at each key stage.

The links between defined FM competencies, qualifications and applied learning in the workplace provide a clear structure, and a much stronger basis than ever before for recruitment and succession planning.

Seeking a reputation FMs have long sought professional recognition and, at last, there are real possibilities to align with longer-established disciplines in the property and managerial fields.

Where training and development resources are increasingly limited, it’s hardly surprising that many are choosing formal accreditation.

In a wider sense, however, FM mirrors broader business trends, and nowhere is this more obvious than in the customised training programmes, designed and run in-house for organisations.

The continuing squeeze on budgets across the board is driving many to look long and hard at how well services are being delivered and to test accepted

standards of performance. It’s been obvious from the number of requests for contract management training over recent months that this is a top priority for many client teams looking to develop levels of internal skill, both in technical areas and behaviours.

We’re all aware that operational FMs often face challenges in implementing contracts negotiated by central procurement specialists; this may involve significant shifts in attitudes and behaviours as well as process adjustments.

Sectors, such as education and local government, provide some interesting current examples.

Here, radical changes are being made to improve levels of service efficiency, raise awareness of good commercial practice and create a much greater focus on customers.

Retailers, too, are having to re-think their approach in the face of tough trading conditions and many are now recognising the contribution professional FM can make to operational effectiveness and business success.

The continuing emphasis on customer focus, especially in the context of customised training, shows how important this area can be in differentiating the quality of service delivery. But once again the picture is more complex than it might first appear.

Managing extended supply chains in FM is a challenge and sometimes the weakest links are actually to be found within clients’ own internal management silos, rather than between clients and their service partners.

Recognising the value of a true ‘one-team’ approach is largely a question of culture and takes time to build. However, the benefits of investing in individuals to develop both skills and positive behaviours can be significant as a number of our recent clients have found.

Some of the biggest differences have been achieved among front-line staff, who can often feel alienated and threatened by change. Here, we’ve seen some obvious and measurable improvements as a result of well-targeted, tailored training.

Interest in underpinning financial management knowledge remains as strong as you might expect, given that operating conditions are likely to remain very tough for the foreseeable future.

Encouraging signs Training resources are clearly being tightly prioritised. However, the continuing commitment to developing staff by employers across all sectors is an encouraging sign. Flexibility and choice remain the watchwords in training provision, and new forms of learning, including mobile applications and e-courses provide valuable complements to the more traditional face-to-face options.

Being able to learn when, where and how you want will become increasingly important.

But perhaps the most significant thing of all is that people now see learning as a continuous process.

Surely a sign that FM is really coming of age! FM

“For the first time, it’s now possible to chart a full career pathway from school leaver to senior manager” www.fm-world.co.uk

11/07/2013 12:42

1. First-class tuition via the long-established BIFM Training programme 2. One of the leading providers of BIFM qualifications 3. Expert trainers and tutor support 4. Fully rounded learning with skills that are immediately transferable to the workplace 5. Uniquely positioned to offer flexibility we have a wide range of course dates and can deliver tailored study programmes to in-house groups

6. Network with a wide range of FMs 7. Extra support with our Study Skills Workshop especially designed for ILM and BIFM qualification programmes

www.bifm-training.com/fmqualificationsFS.htm info@bifm-training.co.uk

Want to know more? Call us on 020 7242 4141

Looking for a formal qualification in FM? Reasons why we are a recognised centre you can count on

FM WORLD | 18 JULY 2013 | 35

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11/07/2013 12:14

FM MONITOR PETER CHAMBERS

WHAT’S IN IT FOR ME? SIT TIN G ON A BI FM T ECH N I CA L CO M M I T T EE

lenty of opportunities come with volunteering on a BIFM technical committee, such as its BIM and government soft landings group, says Peter Chambers

P

There are a number of ways in which BIFM members can volunteer, through regional groups around the country, or via the many special interest groups (SIGs) that host networking events and workshop sessions.

The institute also runs a small number of technical committees, each set up with the aim of improving standards in qualifications, research and compliance across the sector.

I sit on the BIFM’s Building Information Modelling (BIM) and government soft landings task group, which was set up around 18 months ago. I have good experience in the subject and received a request from the group’s chair, Marylin Standley, inviting me to join.

When I saw the list of the other professionals on the group, I knew immediately that I would be working with people who have a real, expert grasp of what BIM was and all that encompasses it.

The group’s objective is to ensure that FM is well represented across the wider built environment sector and I felt I could help by imparting some feedback from the government’s BIM2050 group, another group that I sit on.

This is essentially the rest of the industry’s committee on BIM matters.

As a group, we know that we do not always have the right answer on the subject, but it is important to have a 36 | 18 JULY 2013 | FM WORLD

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platform to discuss any queries.

What’s in it for me? An opportunity to tap into the minds of peers and gain insight from well-respected people in the industry. Taking part in the group has exposed me to different ideas; I feel that my idea of BIM has changed for the better because by being involved I am allowing my viewpoint to be questioned.

Out-of-hours meetings The task group meets every four to six weeks, for a couple of hours. In between meetings, I read up on recent developments and ideas, checking emerging best practice within BIM and FM. It does not completely take over your spare time, but if, for example, we are drafting a statement or developing a guide to other BIFM members on the ramifications of BIM and soft landings, there may be deadlines that we need to meet as individuals.

As a result, we might have to sit down one evening and research or write for a couple of hours.

As with work, volunteering is something that needs your input. You cannot expect to join a committee and simply sit in on the meetings. I am expected to read up and take action.

Sitting on something like this needs time as well as effort.

In my experience, it’s quite rare for someone to miss a meeting and that’s a testament to

the commitment of the group’s members.

Our group, in particular, has tried to include people representing different entry points into FM, from an IT or soft FM background, for example. For those willing to put the effort in, it provides an excellent opportunity.

The group hasn’t really changed personnel since it was set up, but we are looking to expand in the not-too-distant future. BIM is a fast-changing topic that will only become more relevant to FM over the next couple of years, so it’s key for volunteers to be able to commit to the group for more than just a couple of meetings.

We’re all working towards a common goal. The group is very much an advocate of challenging accepted ideas about BIM. It’s also interesting to hear from those not on the committee.

We often receive communications from others with comments and questions on the subject.

While the calibre of this group is high, listening to other experiences of the topic from elsewhere in the sector enables us to best represent the institute on the subject.

I’ve personally benefitted from this committee work. I’ve had

the opportunity to talk at two major conferences, Ecobuild and ThinkFM (Peter is pictured above, next to the Government Property Unit’s Deborah Rowland - Ed), which is something that would never have happened if I hadn’t been involved in the group. I had never presented on such a scale before, but I embraced the challenge and thoroughly enjoyed it. After speaking at these events, a boardroom becomes far easier to deal with…

As with other committees, you gain a wider understanding by speaking with your peers in the group. But don’t sit there and let the group take things forward.

You get out what you put in.

To find out more about Members’ Council, and for a full list of its current members, visit the governance section on the BIFM website: www.bifm.org.uk/ bifm/about/governance

Peter Chambers sits on the BIFM’s BIM and government soft landings task group. To volunteer to sit on a technical committee, please contact the BIFM at info@bifm.org.uk

SUMMARY ● Gain insight from your peers ● Help in the formulation of BIFM

policy on emerging issues ● Develop opportunities to

broaden your networking activity

www.fm-world.co.uk

18/07/2013 16:26

FM MONITOR JEREMY SPENCER

HOW TO

Jeremy Spencer, marketing manager, Toshiba TEC

M ANAG ED DOC UM EN T S ERV I CES

anaged document services (MDS) are marketed as an attractive option for controlling print. Jeremy Spencer explains why MDS is becoming popular in the UK

M

A typical managed document services (MDS) offering is usually based around a ‘cost per page’ (CPP) pricing model.

This usually includes hardware and service-based elements, remote monitoring and print management. However, this is usually offered on a one-sizefits-all basis and some providers fail to account for a customer’s unique requirements.

A more forward-thinking approach to MDS takes these core elements and combines them with a dedicated, longterm strategy to streamlining the entire document process.

This includes data capturing, document archiving, document workflow, data security and environmental management.

This clear focus on burden removal improves an organisation’s print and document management and helps it to achieve longterm profitability, efficiency, cost savings and enhanced environmental sustainability.

1⁄

Removing the burden

The process begins within three main business functions – facilities, procurement and IT. Often, these silos operate independently of each other and, in effect, create more work for themselves, while failing to achieve best value.

For instance, it is not unusual www.fm-world.co.uk

37_HowTo.sr.indd 37

for large organisations to have up to 30 different print-based suppliers, with no defined procurement policy.

An MDS consolidates these areas by rationalising and improving the procurement process, resulting in savings of up to 20 per cent.

This can be generated from reduction in printed output from implementation of print controls, such as restricted colour usage or transition to electronic workflows.

Just as importantly, an MDS allows these important parts of an organisation to concentrate on their key tasks.

What is the difference between MDS ordinary leasing? On a basic level, they are the same. However, an MDS factors in the additional benefits outlined above.

2⁄

Choosing a supplier

To start with, put together a shortlist of three companies. Each one should then be asked to provide a breakdown of all the components of the managed services agreement, for example, the cost of hardware and the servicing element.

When it comes to the hardware, they should provide the retail price, the selling price, including the discount, the finance rate, the volume of print and copies that is being committed to, as well as the CPP for mono and colour devices.

This will provide clear differentiation and make

comparison between service providers much easier.

4⁄

Carrying out an audit

Many companies offer this, however very few do it well. A proper assessment of a fleet should provide total cost of ownership (TCO) of the print and document environment and form the basis of a policy for long-term cost reductions and a return on investment.

It is also important to recognise why an audit needs to be undertaken and the information that is required as a result.

Audits can take three main forms. A basic assessment is conducted internally for measuring output, and provides a preliminary understanding of the CPP for devices based on specifications and usage.

An intermediate assessment combines basic company data with secondary research to give a view of ‘current state’ costs, and provides a deeper analysis of document output costs.

At the top end, a detailed assessment involves a comprehensive level of document

assessment and gives a full view of an organisation’s current costs and provides advice regarding a recommended future state.

5⁄

Meeting CSR targets

The audit process will measure the carbon footprint of the existing print infrastructure and measure this against a proposed new fleet by producing a kilowatt hour (kW/h) saving per year.

Some companies adopt a sustainable approach to product design and manufacture. In 2009, Toshiba TEC launched its pioneering carbon-zero scheme, whereby CO2 generated through its manufacturing processes is offset through ‘gold standard’ carbon reduction schemes.

This type of initiative also helps customers enhance their own environmental credentials.

It is also important to constantly review and improve processes for lasting efficiencies, productivity and cost savings.

6⁄

Controlling the risk

Almost all organisations with a large footprint can benefit from a top-level audit. A managed print service represents a shift away from ‘what we have always done’. The best organisations to engage are those who perform a detailed business analysis on site, not just focused on print, but across the whole business services portfolio, of which MDS is a part. In this way, your company can realise sustainable savings and control costs, instead of ‘quick-fix’ initial savings that aren’t supportable in the longer term. FM FM WORLD | 18 JULY 2013 | 37

11/07/2013 17:16

BIFM NEWS BIFM.ORG.UK

Bob Parkin, Leigh Carter, Duncan Waddell (left to right) BIFM International Special Interest Group (ISIG) at Think FM 2013 KNOWLEDGE BIFM

New Good Practice Guides

Annual review To coincide with the Annual General Meeting, which took place on 11 July, the institute has published its Annual Review covering the period from January 2012 to December 2012.

Sections in the review include: ● Chairman’s introduction ● CEO’s summary ● Professional development ● Networking ● Information and knowledge ● Recognition and industry awareness ● Membership ● Financial summary It also has a new section covering the BIFM Medium-Term Strategy.

Download the 2012 Annual Review at www.bifm.org.uk/ review2012 i

FUNDRAISING

Chairman’s charities Ismena Clout, BIFM chairman, chose two charities to support during her two-year tenure.

They are Breast Cancer Care and The Royal Marsden NHS Foundation Trust.

A year on after these charities were chosen, through support of BIFM members and groups, over £10,000 has been raised. So a big thank you to everyone who has contributed. This fantastic amount excludes activities where funds have been raised, so a further ‘thank you’ to these supporters.

Breast Cancer Care The vision of Breast Cancer Care it is that every person affected by breast cancer gets the best treatment, information and support. It does this by combining 38 | 18 JULY 2013 | FM WORLD

38-40_BIFMNews.sr.indd 36

Good Practice Guides (GPGs), written by FM experts, continue to be recognised by members as a great resource for practical information.

There are a number of new GPGs due to be released, including: ● Benchmarking ● Space planning and management These new indispensable guides are available at no charge as part of your membership benefits. the personal experiences of people affected by breast cancer with clinical expertise.

In this unique way, it provides information and offers emotional and practical support; brings people affected by breast cancer together; campaigns for the improvement in standards of support and care, and promotes the importance of early detection.

The Royal Marsden NHS Foundation Trust The Royal Marsden NHS Foundation Trust is a worldleading cancer centre, specialising in cancer diagnosis, treatment, research and education.

It has partnered with the Institute of Cancer Research and is the largest comprehensive cancer centre in Europe, treating over 40,000 patients each year.

The Royal Marsden Cancer Charity is the main charity that finances state-of-the-art buildings and equipment, and programmes that support pioneering research into the prevention and treatment of cancer.

The charity enables the hospital to continue its groundbreaking work for the benefit of cancer patients worldwide.

i Members can access all GPGs for free at www.bifm.org.uk/GPGs.

INTERNATIONAL SIG

ThinkFM review

Chair of the institute, Ismena Clout, with ex-Spice Girl Geri Halliwell, who is a patron of Breast Cancer Care at a recent fund-raising event

i If you would like to make a donation, you can do so via BIFM. Simply send a cheque, payable to ‘BIFM’, to Number One Building, The Causeway, Bishop’s Stortford, CM23 2ER. Please state if you would like the funds to be allocated to one charity, or split between them both

At the recent ThinkFM conference, the BIFM International Special Interest Group (ISIG) hosted a session entitled ‘The Panel Beaters’, with Paul Lanham (chair), CBRE; Bob Parkin, Global Switch; Leigh Carter, Interserve and Duncan Waddell, Global FM. The basis for the session panel were the results of a recent ISIG and Gensler survey.

The first discussion centred on how the role of an FM is changing. Bob Parkin referred to organisations having to follow the direction of the economic situation, in relation to the change processes many organisations are now needing to adapt to.

Leigh Carter continued to talk about trends, saying that facilities have to be adapted to an ageing

KEEP IN TOUCH » Network with the BIFM @ www.networkwithbifm.org.uk » Twitter @BIFM_UK » LinkedIn » Facebook » YouTube » Flickr www.fm-world.co.uk

11/07/2013 12:43

Please send your news items to communications@bifm.org.uk or call 0845 058 1356

BIFM COMMENT

Graham Briscoe is chair of the BIFM audit committee and a BIFM board member

B I F M H E R I TAG E – 20T H A N N I V E R SA RY

population. Employees will be working longer, to a later age and managers will almost certainly have to accommodate older employees. Therefore facilities need to be able to respond to this demographic challenge.

Duncan Waddell stated that FMs needed to become enablers, facilitators and communicators over the coming years, with a good range of business skills.

This then led to a discussion around how new talent could be brought into the FM profession.

Career of choice The audience was asked to indicate whether it ‘chose’ FM as a career, or whether it ‘fell’ into the profession. Only one person indicated they chose FM. For many firms, FM is the biggest spend after human resources, so it’s important to have a good talent pool. Duncan Waddell directed the audience to the Global FM strategy for their plan on how they intend to move the FM profession forward in this respect.

The discussion then covered a number of opinions from the floor, which included one that questioned the traditional view that we can look for leadership in FM from the West, and that we should keep a weather-eye on FM in the Far East.

This was followed by a discussion on how necessary it was for client and service provider organisations to provide structured career development and learning opportunities at all levels, in order to attract top talent. i You can learn more about the International SIG at www.bifm.org.uk/ international.

www.fm-world.co.uk

38-40_BIFMNews.sr.indd 37

his year marks the 20th anniversary of BIFM. There are within the membership a large number of people who moved across to BIFM at the time the Institute was formed from a merger of the Institute of Facilities Management (IFM) and the Association of Facilities Management (AFM) on 1 September, 1993.

The AFM, established in 1986, was originally a networking group of corporate facilities managers based in London and the south east, established originally by Derek Butcher of the BBC. The IFM, also established in 1986, was an institute formally set up by the Institute of Administrative Management (IAM). The IFM had an elected council, was recognised by the appropriate bodies, had an approved examination scheme and formally approved professional membership grades.

While BIFM has part of its heritage from the IFM, which itself was established by the IAM (originally the 1915 Office Mechanisation Users Association in London), FM cannot look back that far. However, the IFM can trace its own facilities management heritage through the IAM. At an IAM Council Meeting on 14 March 1968, the council approved the establishment of the new ‘Office Design and Office Services’ division, complementing the other six divisions already in existence:

T

Communications management Computers ● Education and training ● Management information ● Organisation and methods ● Staff management and supervision. ● ●

Shortly afterwards, I commenced my career in FM, in what was then known as ‘office services’, first in Rover British Leyland, then Tube Investments, and finally The Phoenix – planning its relocation from London to Bristol in 1973, which then led to a 30-year FM career within Royal Sun Alliance (RSA).

Looking back to the early 1970s, office layouts were constructed using miniature cardboard templates and wooden models of desks and office furniture. The first office telephone call recording equipment was a second generation computer (ie transistors), with cable crocodile clips to every phone line in the office switchboard, which quickly established that a cleaner was ringing her mother in Portugal every evening, having found the one phone in the building that had not had its foreign dialling facility cancelled!

In a report to the IAM Council on 8 May 1969, the ‘Report of the Divisional Chairman for Office Design and Office Services’ contains the first official reference to an IAM ‘Office of the Year Award’. This was followed by a further report to the IAM Council on 14 May 1970 stating: “The Office of the Year Award 1971 scheme has been launched and publicised”, indicating that the BIFM Awards celebrate 50 years in 2021.

While BIFM itself celebrates its 20th anniversary in 2013, facilities management represented by the IAM’s Office Design and Office Services Division going back to 1968 can celebrate its 50th year anniversary in 2018. i

Learn more about the 20th anniversary at www.bifm.org.uk/20

FM WORLD | 18 JULY 2013 | 39

11/07/2013 12:43

BIFM NEWS BIFM.ORG.UK

GFM’s Wayne Goode, Jason Child, Dean Hackett and Tony Smith-Allen – team winners, BIFM East region golf qualifier

BIFM TRAINING SERIOUS ABOUT A MORE SENIOR ROLE? YOU’LL NEED TO POLISH UP ON YOUR PEOPLE AND MANAGEMENT SKILLS…

eyond technical ability, it’s essential to understand the softer side of service delivery.

An important aspect of this is learning how to effectively manage yourself and others around you.

For example, FMs negotiate with people at all levels on a daily basis – but how can you develop strong working relationships without good communication skills? You will also be managing a varied and complex workload, and a managerial role will require you to strike the right balance between planning, organising, motivating and controlling.

BIFM Training offers a reputable programme of personal development courses to help you fill any skills gaps you have in this important area, including: Essential Communication Skills – 19 September Find out about the psychology of communication and learn the tricks to getting people on your side.

Resolving communication difficulties in the workplace can improve the effectiveness of your FM operation and bolster better working relations all round.

Talking FM (Presentation Skills) – 26 September Does the thought of standing up and presenting information in the workplace reduce you to a quivering wreck? This course will help you to rationalise and overcome your fears so you can deliver confidently.

Management Development – 7-11 October This course leads to the nationally recognised ‘ILM Level 3 Award in Leadership and Management’ qualification, and will help pressured FMs to manage with success and confidence.

Personal Effectiveness Skills – 10 October Are swollen workloads and shrinking budgets leaving you feeling under attack? Delegates attending this course will come away with the ability to take control and work smarter, not harder!

Customer Focused FM – 16 October This course covers understanding service excellence, getting the basics right, and creating and motivating your team to deliver a friendly, professional and consistent customer experience that supports your organisation’s business goals.

Team Leading – 5-7 November Feeling caught between top-down and bottom-up pressures? Discover your identity as team leader in a positive and structured way. This course leads to an ILM Level 2 Award in Leadership and Team Leading and will help you to communicate at all levels, helping you maintain control and yet sustain good relations.

B

MEMBERSHIP

Corporate members The BIFM welcomed the following corporate members in June: ● COREcruitment – consultant, provider of advice & guidance ● EFP Gritting – product supplier ● Estate and Facilities Directorate – end user, in-house FM team ● Exel Computer Systems – product supplier ● F Parr – product supplier ● FHP Engineering Services Solutions – consultant, provider of advice & guidance ● Fruitful Office – product supplier ● G. Thom Facility Management – FM, suppliers ● Honeywell Control Systems – FM service suppliers, contractors ● KGB Cleaning & Support Services – product supplier ● Safelincs – FM service suppliers, contractors ● Solarvista Software – product supplier ● The Wigley Group – end user, in-house FM team ● Vetasi – FM, suppliers i Learn more about corporate membership at www.bifm.org.uk/ corporatemembership, email corporatemembership@bifm.org.uk or call +44(0)1279 712 650

EAST REGION

Golf day The West Essex Golf Club near Chingford hosted the BIFM East region golf qualifier, which took 40 | 18 JULY 2013 | FM WORLD

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place on World FM Day (27 June).

Thanks to everyone who attended.

Players were competing to see who would get the chance to represent the East region in the BIFM National Golf Finals taking place later in the year.

Initially, all players got the opportunity to work with the pro golfer during the pro-clinic, sponsored by Talent FM, to improve their swings before tee-off.

The results were: ● Nearest the pin 3rd hole: Paul Waterman, The Tavistock & Portman NHS Trust ● Nearest the pin 15th hole: Steve Anderson, Talent FM ● Longest drive on the 13th hole: Charles Oakley, Facilities Show ● Overall individual winner for the day: Jonathan Last with 40 points ● Overall individual runner-up: Paul Waterman 38 Points ● Team winners: GFM, which included Wayne Goode, Jason Child, Dean Hackett and Tony Smith-Allen The top four players who qualified for the BIFM National Golf Finals were Paul Waterman (38 points), Wayne Goode (34 points), Dean Hackett (32 points) and Stuart Harris (27 points).

Thanks to Norland Managed Services who sponsored all the trophies for the day. Further thanks to Talent FM, Kay Consulting, Bright Hygiene, Facilities Show and Technifire Solutions for providing the other prizes.

For detailed programmes or to book, please email info@ bifm-training.co.uk, call 020 7404 4440 or you can go online at www.bifm-training.com.

www.fm-world.co.uk

11/07/2013 12:43

FM DIARY

Send details of your event to editorial@fm–world.co.uk or call 020 7880 6229

INDUSTRY EVENTS

INTERNATIONAL EVENTS

19 September | BIFM national golf finals 2013 The event returns to the venue of the first national finals in 2001, following a series of regional qualifying events.

Venue: Bowood Golf Hotel & Spa, Chippenham, Wiltshire SN11 9PQ Contact: Don Searle at don@c22. co.uk or call 020 7220 8900

2-4 October | IFMA World Workplace conference & expo The largest annual conference for FMs includes exhibitors, discussions and networking.

Keynote speeches from author Barbara Corcoran and Philadelphia Mayor Michael Nutter.

Venue: Pennsylvania Convention Centre, Philadelphia, US Contact: www.worldworkplace.org

14 October | BIFM Awards 2013 The BIFM Awards is the most influential networking event within the UK’s FM calendar and gives national recognition to the leaders in our profession. The BIFM Awards are designed to celebrate the increasingly strategic profile of FM by highlighting the key role it plays in the success of organisations. The ceremony brings together the leaders of our sector with the winners and to celebrate excellence in FM. Venue: Grosvenor House Hotel, London Contact: communications@bifm. org.uk or call 0845 058 1356 19-20 November | Worktech This two-day conference examines the workplace environment: technology that will change work; engineering serendipity; innovation in the workplace; what people want from technology; real-time real-estate; and ‘digital nomads’.

Venue: The British Museum, Great Russell Street, London WC1B 3DG Contact: Email registrations@ unwired.eu.com or visit www.unwired.eu.com/worktech13/ london/

IRELAND REGION 15 November | Ireland conference More details to follow. Interest can be registered online.

Venue: Belfast Waterfront Contact: Laura McMahon at l.mcmahon@hjmartin.co.uk or visit www.bifm.org.uk/IC2013

proposals welcomed.

Venue: Murrayfield Stadium, Edinburgh, EH12 5PJ Contact: Michael Kenny at mkenny@fesfm.co.uk or visit allaboutfm2013.eventbrite. co.uk

Bradley Stoke, Bristol BS32 4JF Contact: dan.knight@ norlandmanagedservices. co.uk or hazel.reason@ plantronics.com or visit www.bifmswregionnovqtd2013. eventbrite.com

HOME COUNTIES REGION

SPECIAL INTEREST GROUPS

23 July | What a load of rubbish!

6pm for a 6.20pm start.

A presentation from WCRS managing director Tony Windsor on waste hierarchy and the new requirements of EU directive; waste strategy at complex events and sites; and case studies.

Venue: Sandown Park Racecourse, Portsmouth Road, Esher, Surrey KT10 9AJ Contact: Jane Wiggins at jane@fmtutor.co.uk or visit bifmhcsandown.eventbrite.co.uk

18 July | Sustainability – Sustainability in the workplace Sunil Shah & members from the Sustainability SIG will present the results of their recent Sustainability in FM survey, sponsored by Open Energi.

The survey gauges the level of engagement FM professionals have with the sustainability agenda and provides an insight into its role within the workplace.

A presentation will be delivered on the design and build of the Co-operative Group’s new Angel Square headquarters and its environmental credentials, followed by a tour of the building.

Venue: The Co-operative Group, Angel Square, Manchester M60 1AG Contact: Mark Whittaker at mark. whittaker@integral.co.uk or visit bifmlancashire.eventbrite.co.uk

LONDON REGION SOUTH WEST REGION 26 September | Project management Details TBC. Venue: BBC New Broadcasting House, Portland Place, London, W1A 1AA Contact: Cathy.hayward@ magentaassociates.co.uk The BIFM London region holds its monthly CPD events on the first Tuesday of every month.

Contact: www.bifm.org.uk/bifm/ groups/regions/london/events SCOTLAND REGION 10 October | All about FM! Conference and exhibition, with speakers currently being considered. Any

12 September | Essential FM compliance Will include a B&B rate of £50 for those wishing to stay on the Wednesday evening.

Don’t miss what will be a fantastic day of learning and networking.

Venue: Hilton Hotel, Woodlands Lane, Bradley Stoke, Bristol BS32 4JF Contact: Beth Goodyear at Beth.goodyear@fmhsconsulting. co.uk www.bifmswseptqtd2013es2.eventbrite.com or call 07901 858 875 15 November | Hard services Detailed programme TBC. Venue: Hilton, Woodlands Lane,

25 September | Business continuity – incident management Venue: Haworth Showroom, Clerkenwell, London A panel discussion with incident management and technology platform professionals, discussing the significant impact of social media on incident management.

Contact: Steve Dance at steve1dance@btinternet.com

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POWER TO BRITAIN

FM WORLD | 18 www.fm-world.co.uk JULY 2013 | 41

11/07/2013 12:45

FM PEOPLE MOVERS & SHAKERS

BEHIND

THE JOB What attracted you to the job and to FM? This was my first job outside the home. I had my children young and stayed at home with them, only going out to work when I was in my early-forties.

I started as a receptionist at bwin.party eight years ago and have organically grown into the FM role.

It’s meant that I’ve become something of a mum to the people within the business. They get looked after very well and it makes a difference to their morale.

NAME: Patricia Capper JOB TITLE: Facilities manager ORGANISATION: Bwin.party digital entertainment JOB DESCRIPTION: Managing a 20,000 square foot (1,858 square metres) office at One New Change in the City of London and looking after 180 staff, with all the FM issues that involves

ON THE

MOVE Changing jobs?

Tell us about your new role and responsibilities.

Contact Jamie Harris Jamie.Harris@fm-world.co.uk

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My top perk at work is…

Interacting with people. Ordering paper is one of the many things that needs to be done, but I love looking after people.

What’s been your career high point to date?

Most definitely the office relocation last year that saw me and our project manager, with the help of our design and build partners Ranne, relocate around 200 people to our fabulous new offices. The previous building was 30 years old and very tired; staff were spread across two floors and using the office space was hampered by a floorplate with the lifts and services at the core. Now all staff are on one floor, the office is light and airy thanks to huge floor-to-ceiling windows along London’s Cheapside, and the design reflects the ethos of our business. The effect on staff morale and productivity, and the reaction from suppliers and visitors, has been fantastic. And we still have that momentum six months later.

Diageo chief executive Paul Walsh (right) will take up the non-executive chairman’s role at Compass Group when Sir Roy Gardner steps down in February. Gardner leaves after six years as chairman. Walsh has been chief at global drinks business Diageo since 2000. Prior to that, he held a number of senior executive roles at Diageo in the UK and North America. Walsh is also a non-executive director of FedEx, Unilever and Avanti Communications Group. He has previously been on the boards of Centrica, General Mills and Ceridian.

If you could give away one of your responsibilities to an unsuspecting colleague, what would it be?

Budgets. I’m a people person, not a numbers person.

If you could change one thing about the industry, what would it be?

I think facilities managers need to be less serious and more friendly. Sometimes it feels too structured and management-focused. I want people to feel that they’re coming from home to home, that they have a supportive environment that brings out the best in them and allows them to do the best possible job.

The ‘facilities management’ name doesn’t help.

We call it ‘housekeeping’ here.

Any interesting tales to tell?

We got staff involved right from the start of the relocation, asking them to voice their views on what they liked and didn’t like about their existing office and what they would look for in the new space. Some staff were vocal, others just wanted to replicate the ultra-trendy look of Google’s London headquarters. That frustrated me. Why be led by others when we can brainstorm and design a workplace from scratch that fully reflects bwin. party’s ethos?

What single piece of advice would you give to a young facilities manager starting out?

If you want to get into FM, you must genuinely like people.

Euan Burns (right) has joined integrated support services provider Carillion in the newly created role of chief engineer.

Burns was formerly executive director of corporate services at Goldman Sachs. At Carillion, Burns is developing the integrated energyled hard services offering. He will also lead the company’s Engineering Centre of Excellence team that offers asset management, critical environment management and lifecycle products. Phil Shepley, managing director of commercial energy and engineering, said Burns “is a key part

of our strategy to strengthen our engineering offering for our customers”.

Raymond Yeng (right) has joined London-based consultancy Drumbeat Energy as director of energy services. Yeng’s experience includes development of low-carbon strategies and carbon-reduction projects, project management, climate change legislation, energy data consumption, energy reduction and performance related contract management. Yeng previously worked with Inenco as associate of engineering.

www.fm-world.co.uk

11/07/2013 12:45

FM NEWS

Call Richard York on 020 7880 8543 or email richard.york@fm-world.co.uk For full media information take a look at www.fm-world.co.uk/mediapack

FM innovations ▼ John O’Conner continues to grow John O’Conner Grounds Maintenance, the successful, family-owned grounds maintenance company, has won new contracts and extensions to existing clients worth £27 million.

The new business comes from housing associations and trusts, local authorities and corporate business premises.

The new wins include The Aldwyck Housing Group, Hightown Praetorian Church Housing Association, Midland Heart Housing and The Red Kite Community Housing Association. Aylesbury Vale District Council, East Herts DC, and Alexandra Palace are new or expanded contracts. It has also won the prestigious Misubishi headquarters at Welham Green, Hertfordshire.

T: 01438 717175 W: www.johnoconner.co.uk

▲ New health and safety training school

▲ Jangro – bigger, brighter and better

If you find health and safety training too expensive, there is good news ahead.

SOS Training has been formed to help the cleaning, FM and service industries with health and safety training. SOS’s principal consultant, Lorraine Larman has 20 years’ experience across many service sectors, including catering, cleaning, NHS, transport, pest control and agriculture Larman, a chartered member of IOSH and a qualified tutor and assessor, has all the relevant skills-sets to reassure candidates and help them achieve their chosen qualification.

SOS Training offers a wide range of courses, including NEBOSH and IOSH, plus a selection of first aid, H&S, and manual handling courses.

T: 01277 268879 E: info@schoolofsafetytraining.co.uk W: www.schoolofsafetytraining.co.uk

Jangro, the largest UK network of independent janitorial supply companies, which has 41 outlets, has launched the biggest, brightest and probably best website in its sector. www.jangro.net is packed with useful product support guides, for example, health and safety data sheets, risk assessments, illustrated product usage guides, wall charts and practical manuals.

Visitors can locate their nearest Jangro member, see over 40,000 products in the Jangro catalogue with easy-to-find product information and read the Jangro Training Solutions programme. It enables national accounts to buy online for regional deliveries. A list of a customer’s 20 favourite products can be stored to make ordering easy.

T: 0845 458 5223 E: enquiries@jangrohq.net W: www.jangro.net

▼ Gala dinner farewell for Jangro chief Bryan Squires, who created the Jangro concept and brand in 1980, drawing together a handful of like-minded independent distributors, has retired as Jangro chairman. He has accepted the post of lifetime honorary president.

120 Jangro members and suppliers enjoyed a fund-raising gala dinner and dance in his honour at the Forrest of Arden Hotel.

Auctions and raffles on the night raised over £3,000 for Jangro’s 2013 charity, Macmillan Cancer Research.

Squires was presented with a special Moments with Bryan book in which everyone wrote a memory of working with him. In September, members and suppliers are celebrating his 80th birthday by cruising down the River Thames on a paddle steamer.

T: 0845 458 5223 E: enquiries@jangrohq.net

▲ Success for OCS at the RoSPA awards International total FM provider OCS has had its approach to occupational safety and health recognised by the safety charity, the Royal Society for the Prevention of Accidents (RoSPA).

The Quality Safety Audit Award Level 2 was presented to OCS at the RoSPA Occupational Health and Safety Awards 2013 ceremony on 15 May. Graham Gilbert, managing director infrastructure and healthcare at OCS Group UK – pictured above centre being presented with the award by Lord Jordan of Bournville CBE, RoSPA president (right) and Errol Taylor, RoSPA deputy chief executive/strategic partnerships director (left) – said: “Occupational safety and health is a top priority for OCS so we are delighted to be recognised by RoSPA with the QSA Award Level 2.” www.fm-world.co.uk

43_Products.sr.indd 43

▲ Shopping centre team’s good work The OCS security and cleaning team at the busy Borough Parade shopping centre in Chippenham, Wiltshire, has been presented with Above and Beyond the Call of Duty (ABCD) Awards by councillor Sylvia Gibson, Chippenham’s mayor, in recognition of the team’s excellent work in keeping the centre clean, safe and secure.

The ABCD awards to Rob and Dan (security) and Billy and John (cleaning) recognise their individual and collective actions over more than two years.

The two cleaners have demonstrated involvement and commitment, maintaining the high standards of the centre, and contributed to a welcoming environment. In particular, the annual floral display is much appreciated by shoppers.

T: 01273 669 917 / 07971 400 332 E: cathy.hayward@ocs.co.uk FM WORLD | 18 JULY 2013 | 43

11/07/2013 16:26

Appointments

Call the sales team on 020 7324 2755 or email jobs@fm-world.co.uk For full media information take a look at www.fm-world.co.uk/mediapack

Introducing....

Contract Cleaning The FM Network would like to introduce their Contract Cleaning division. We have dedicated consultants that specialise in recruiting for the Contract Cleaning industry. Operating across all aspects of cleaning, commercial, industrial and transport, etc.

Whether you are looking to recruit Business Development Professionals, Site/Regional Managers or Directors we can help. Specialising in Middle Management to Director level roles The FM Network, work with the industry’s top nd operations. talent and cover all aspects of the market on both sales and All our candidates are fully screened and reference-checked to rket. ensure that we are providing the best candidates in the market.

Our recent successes include:

Sales Director Bid Manager Operations Director Regional Director Regional/Site Managers National Contract Manager Business Development Manager If you have a specific cleaning requirement or are looking for your next opportunity then please contact Patrick Farrelly on 0121 450 5000 or email patrick@thefmnetwork.co.uk

0121 450 5000 info@thefmnetwork.co.uk

N O.1 FACILITIES M A N AG EM ENT RECRUITER IN THE U K

*

www.thefmnetwork.co.uk *according to a recent survey

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jobs.fm-world.co.uk

11/07/2013 11:21

Be at the centre - drive great performance Here in Brent there is a real vision and focus for the future and we are really proud of what we have achieved so far. To maintain our momentum in the current economic climate we have introduced a council-wide programme of actions designed to create a more efðcient and streamlined organisation, whilst maintaining our focus and priorities on delivering high quality front line services.

As part of our vision our award winning Civic Centre is now complete and will be fully occupied by the end of August this year. Located right in the heart of Wembley opposite the famous Wembley Stadium and Wembley Arena, it is supported by excellent transport links. The Civic Centre creates a new focal point for the delivery of council services. It contains a large event and function hall, conference facilities, library, cafes and retail areas. The council has recently entered into a long term contract with an external FM company to provide a Total Facilities Management (TFM) solution.

The successful candidates will demonstrate their ability to work ñexibly in a challenging Facilities Management environment. You will need to be able to communicate effectively with clients and service providers. Sound knowledge and experience of budgetary monitoring and analysis of statistical information is also required.

Performance OfÄcer - Client FM Ref: 13826 Salary: £26,400 - £28,032 p.a Inc. London Weighting Location: Brent Civic Centre, London, Wembley Hours of work: 36 hours per week Operational OfÄcer - Client FM x2 Ref: 13827 Salary: £26,400 - £28,032 p.a Inc. London Weighting Location: Brent Civic Centre, London, Wembley Hours of work: 36 hours per week Please note CV’s will not be considered as part of your application for this position.

Applications from candidates who have applied for this role in the last 6 months will not be considered.

We reserve the right to close this advert earlier than the closing date indicated should we feel we have received sufðcient applications.

Application Closing Date: 1st August 2013 (23:59) Interview Date: 19th August 2013

http://www.brent.gov.uk/your-council/jobs-and-careers/work-for-us/

JOBS

WE CAN HELP YOU FIND

YOUR PERFECT JOB

JOBS BY EMAIL Be the first to receive your perfect job straight to your inbox. To sign up simply; • Enter your name and email address • Choose the sector, salary and location you would like to work within • Create up to five different tailor-made alerts

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Contact the sales team on 0207 324 2755 | www.fm-world.co.uk/jobs

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FINAL WORD NOTES FROM AROUND THE WORLD OF FM

NO 2

REEL GOOD TIMES

DAYS

It's four weeks until our next print edition, so in the spirit of the Summer Special (young people, you'll never know what you missed), here's a page of excellent summer viewing material.

These eight videos from the past year are well worth

TAKING SOUNDINGS

THINK FM: THE LEADERSHIP CHALLENGE

THE SAME We were recently treated to a great presentation on the effect of acoustics in the workplace from specialist consultant Julian Treasure. At a Leesman Index event, Treasure made great play of the issues surrounding noise in the office. Such issues are considered when workplaces are designed, right? Well, not quite.

Treasure says that in their yearslong training, architects get just one day on acoustics.

One single day!

No wonder mistakes are made, such as the new school where classrooms were designed to face each other, the resulting cacophony infiltrating every room and making teaching next to impossible. Sure enough, an expensive retrofit was required to make the classrooms effective.

Showing the evidence of a heart rate monitoring experiment, Treasure showed how it was reasonable to conclude that teachers in highnoise classrooms are shortening their lives by putting up with their working conditions. And productivity in high-noise offices can plummet.

"We have urban planners, but where are the urban sound planners? We have office planners, where are office sound planners?," asked Treasure.

Both are very good questions.

3:49

Leadership Inter-departmental communication Workplace effectiveness

THINK FM: INTERVIEW WITH CHRIS KANE Inter-departmental communication Agile working FM's advisory role

tinyurl.com/thinkfmchriskane

29:56

RISING STARS OF FM 1:53

Seizing opportunities Creating change

2:28

tinyurl.com/fm-brand

THINK FM: HIGHLIGHTS

HISTORY OF FM: FRANK DUFFY

tinyurl.com/thinkfm2013highlights

Career pathways Becoming an FM

ROUNDTABLE: FM AS THE BRAND

tinyurl.com/thinkfmleadershipchallenge

3:42

FM's demographic time bomb Career pathways FM job case studies

tinyurl.com/careers-risingfms

THINK FM: INTERVIEW WITH JIM LAWLESS 3:18

CAREERS IN FM

tinyurl.com/careersinfm

tinyurl.com/thinkfmleadershipchallenge

3:14

your time. Scan the QR code to go straight to the clip, or just type in the URL. Most are short, but we've put the full running length in the top left of the thumbnail image. The key words should help you pick something relevant. So – happy viewing!

10:32

FM's role in brand management Supplier relationships

The history of FM Architecture and FM US vs. UK

tinyurl.com/historyoffm-duffy

IN THE NEXT ISSUE OUT 15 AUGUST

FEATURE – THE ROLE OF FM IN PRISONS /// HISTORY OF FM – THE WOMEN IN FM SPECIAL INTEREST GROUP /// UNWANTED FURNITURE DISPOSAL /// RENT REVIEWS /// INCENTIVES FOR SECURITY GUARDS /// ASSOCIATIONS MERGER UPDATE /// ALL THE LATEST NEWS AND BUSINESS ANALYSIS

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